Ripple to Launch New Stablecoin RLUSD on Tuesday

In a significant development for the cryptocurrency markets, Ripple is preparing to launch its stablecoin, Ripple USD (RLUSD), this Tuesday. This launch follows Ripple's approval from the New York State Department of Financial Services at the beginning of December.

Pegged to the US dollar, this stablecoin will initially be available for trading on select global exchanges, with Ripple planning to expand access to more platforms in the near future. However, major trading platforms such as Coinbase and Robinhood will not be offering RLUSD at launch.

Ripple USD will be issued on two prominent blockchain networks: the Ethereum blockchain and the XRP Ledger. Ripple's move aims to enhance the efficiency of cross-border payments and reduce associated costs.

Jack McDonald, Ripple's Senior Vice President responsible for stablecoins, emphasized the role of stablecoins in financial transactions, particularly in the context of international payments. McDonald stated, "Part of our desire to launch a stablecoin comes from the growth we are seeing, especially in cross-border payments. As we have increasingly utilized stablecoins in our flows, we have become more interested in having our own native stablecoin that could be more cost-effective and operationally efficient."

The introduction of RLUSD signifies Ripple's strategic expansion into the stablecoin market, which is becoming increasingly important for digital asset ecosystems and payment infrastructures. The company's focus on cross-border payments aligns with a broader industry trend of leveraging blockchain technology to facilitate and economize international money transfers.