Ripple's RLUSD Stablecoin Has Been Approved by New York Regulators

Bittime - Ripple Labs has received approval from the New York Department of Financial Services (NYDFS) for its US dollar-pegged stablecoin RLUSD. 

In this way, Ripple's plans to expand its digital payments business and strengthen its position in the cross-border payments market with its RLUSD stablecoin are getting closer.

RLUSD Stablecoin Trial 

Since August 2024, Ripple has been trialling its RLUSD stablecoin on the XRP Ledger and Ethereum blockchain.

This stablecoin was designed with an over-collateralized concept, which means it has an asset reserve greater than the total tokens in circulation. 

This strategy aims to meet the growing demand for highly regulated digital payment solutions.

Read Also: What is XRP Coin: Definition, History, and Differences from Ripple

RLUSD Stablecoin: Publishes Monthly Report

As part of the launch of its RLUSD stablecoin, Ripple promised to publish monthly reserve reports and undergo third-party audits of its underlying assets. 

This move is to demonstrate the company's commitment to transparency and compliance, in line with increasingly stringent regulatory oversight in the stablecoin sector.

Stablecoin RLUSD: Complementary Ripple Products

Ripple CEO Brad Garlinghouse emphasized that the RLUSD stablecoin will complement Ripple's existing products, not replace them. XRP remains an integral part of Ripple's cross-border payments network. 

This statement by Ripple's CEO eased the concerns of the XRP community who previously felt that Ripple's strategy could reduce the role of Ripple's original token, namely XRP.

RLUSD Stablecoin to Launch Soon

To accelerate adoption of the RLUSD stablecoin, Ripple has collaborated with several exchanges. 

Dno way, phe launch of the RLUSD stablecoin will increase stiff competition with well-known stablecoins such as USDC from Circle and USDT from Tether. 

Ripple executives estimate that the stablecoin market will reach a value of $2 trillion by 2028 so there is a big opportunity for several issuers to compete.

Read Also: 5 Main Causes of the Increase in XRP Prices that are Currently in the Spotlight

FAQ XRP

What is XRP and what is its use?

XRP is a digital asset created by Ripple Labs, and designed to facilitate cross-border payments. XRP blockchain technology enables transactions in just a few seconds with very low fees making it ideal for international money transfers and micropayments.

What is the Difference Between XRP and Other Cryptocurrencies Like Bitcoin?

XRP is designed to support cross-border payment systems with a focus on speed and cost efficiency, different from Bitcoin which functions more as a store of value and investment tool. In addition, XRP uses a consensus mechanism that does not require mining so it is more energy efficient.

How to Buy XRP?

XRP can be purchased via various exchange platforms such as Bittime, just by visiting the trade page on the official Bittime website. 

How to Buy Crypto with Bittime

Want to trade sell buy Bitcoins and crypto investment easily? Bittime is here to help! As an Indonesian crypto exchange officially registered with Bappebti, Bittime ensures every transaction is safe and fast.

Start with registration and identity verification, then make a minimum deposit of IDR 10,000. After that, you can immediately buy your favorite digital assets!

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Additionally, visit Bittime Blog to get various interesting updates and educational information about the world of crypto. Find trusted articles about Web3, blockchain technology, and digital asset investment tips designed to enrich your knowledge in the world of crypto.

Reference

Coin Market Cap News, Ripple Secures NY Regulator Blessing for Dollar-Pegged Stablecoin RLUSD, accessed December 3, 2024.

Author: IPR