- Aave’s Horizon platform enables institutional borrowing of stablecoins against tokenized assets, boosting on-chain capital efficiency.
- RLUSD becomes a primary collateral option on Horizon, strengthening Ripple’s position in institutional decentralized finance.
- Ripple has minted over 21 million RLUSD in recent days, and its stablecoin market cap has grown to $687 million amid broader adoption.
Decentralized finance protocol Aave has launched Horizon, a new platform designed to enable institutions to borrow stablecoins against tokenized assets. The platform initially supports Circle’s USDC, Ripple’s RLUSD, and Aave’s native GHO tokens. Additionally, tokenized funds can now be used as collateral within this new system.
The Horizon platform is built on Aave V3, which remains the largest decentralized lending protocol with over $66 billion in assets. This integration aims to increase capital efficiency by allowing real-world asset-backed tokenized products to be deployed across decentralized markets.
Ripple’s RLUSD gains visibility through Aave integration
Ripple’s RLUSD stablecoin plays a significant role in Horizon. Reece Merrick, Ripple’s Managing Director for the Middle East and Africa, acknowledged the development and highlighted RLUSD’s importance in driving liquidity through tokenized collateral. Ripple confirmed that RLUSD enhances the efficiency of on-chain finance and allows markets to interact more smoothly using tokenized products.
According to the announcement, institutions using Horizon will have access to a curated selection of tokenized funds that can serve as collateral. This reflects a growing interest among financial institutions to explore blockchain-backed assets without the need to liquidate positions.
Stablecoin usage across platforms continues to expand
Ripple’s recent activity around RLUSD further demonstrates its focus on expanding the stablecoin’s adoption. On August 25, over 1.2 million RLUSD were minted in two separate transactions, following a large 20 million RLUSD minting on August 22. The total market capitalization of RLUSD has now reached $687 million, signaling growing institutional interest.
In July, Ripple confirmed plans to introduce RLUSD to the Japanese market through a partnership with SBI VC Trade, with the launch expected in early 2026. Meanwhile, Gemini has added RLUSD to its supported assets for U.S. spot trading and recently launched a credit card branded with Ripple’s stablecoin.
