- Ripple could soon see approval to launch its RLUSD stablecoin by NY regulators.
- The stablecoin market has grown to record highs nearing $200 billion in 2024.
Ripple is expected to receive approval from the New York Department of Financial Services to launch its RLUSD stablecoin, according to Fox Business sources.
The rollout could happen as early as December 4.
The stablecoin will be issued through Standard Custody & Trust Company, a Ripple-owned entity licensed by NYDFS.
RLUSD would give Ripple a foothold in the $200 billion stablecoin market, currently dominated by issuers like Tether’s USDT and Circle’s USDC.
Stablecoins, which are pegged to assets like the US dollar, have become an essential part of the cryptocurrency ecosystem.
They are widely used in payments and crypto trading due to their price stability and efficiency in cross-border transactions.
The broader stablecoin market has seen significant growth in 2024, fueled by increased crypto adoption and institutional involvement.
“We’ve seen a massive increase in stablecoin transactions,” said Varun Paul, senior director at Fireblocks, noting that stablecoins account for over half of the platform’s trading volume.
Major fintech firms, including PayPal and Robinhood, have also entered the market, and are confident in stablecoins’ long-term potential.
Ripple’s native token, XRP, has a separate function in facilitating cross-border transactions but remains under regulatory scrutiny in the US.
The ongoing Securities and Exchange Commission lawsuit has caused price volatility, though XRP recently surged to $1.95, its highest level in six years.
Kyle Baird is DL News’ Weekend Editor. Got a tip? Email at kbaird@dlnews.com.
