At the Miami Ripple Swell 2024 conference, Ripple revealed new exchange partners and market makers for its upcoming dollar-pegged stablecoin, RLUSD.
Former FDIC Chair Sheila Baer and former CENTER Consortium CEO David Puth are appointed to the RLUSD Advisory Board. Ripple’s president said the stablecoin is “ready to operate” and is awaiting regulatory approval from the New York Department of Financial Services (NYDFS).
Exchanges and market makers support Ripple’s RLUSD launch
Ripple’s multiple partners supporting the distribution of RLUSD include Bitstamp, Bitso, Bullish, CoinMENA, MoonPay, Uphold, and Independent Reserve.
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However, the company also partnered with B2C2 and Keyrock as market makers to facilitate liquidity creation and adoption across global markets.
These partnerships aim to make RLUSD available to institutions and users around the world on trusted exchanges.
Initially, the stablecoin will be launched on the XRP Ledger and Ethereum network to facilitate real-time transactions and conversion between fiat and digital currencies.
Ripple CEO Brad Garlinghouse said the company aims to make RLUSD the gold standard stablecoin for enterprise use cases. Garlinghouse added that customers need stablecoins to settle cross-border payments, asset tokenization, and decentralized finance (DeFi).
Ripple’s move to stablecoins reflects a broader strategy to connect traditional financial markets with blockchain technology. However, the company’s payments network already covers more than 90 markets and has processed more than 37 million transactions worth a total of $70 billion to date.
In another news development, Garlinghouse said Ripple has already acquired Standard Custody, which proves the company’s compliance.
RLUSD is designed for payments, on-ramp, and asset tokenization
Ripple’s RLUSD stablecoin will focus on cross-border payments, on-ramp conversion of cryptocurrencies to fiat and vice versa, and tokenization of real-world assets.
With RLUSD, Ripple’s existing cross-border payment solutions, including XRP, will be further optimized in terms of speed and cost. This integration provides liquidity and allows institutions to trade effortlessly around the world.
RLUSD brings together traditional and digital finance, providing a secure gateway to enter and exit the cryptocurrency market without worrying about price fluctuations. Additionally, it seeks to facilitate faster acceptance of digital money by providing an efficient entry point into the blockchain ecosystem.
Ripple advisory board members emphasized the need for compliance and stability in the nascent digital economy. “Stablecoins will play an important role in modernizing financial infrastructure,” said Sheila Bear. As the digital asset industry grows, responsible innovation will be paramount to its implementation, prioritizing both consumer protection and financial stability. ” she added
Regulatory compliance and market positioning
Based in New York, Ripple’s RLUSD stablecoin is issued under the New York Trust Company Charter and is fully compliant with a rigorous regulatory process. According to Ripple President Monica Long, the public launch of RLUSD will be subject to regulatory approval from NYDFS. “We’re operationally ready,” Long said, suggesting the deployment could happen within weeks.
RLUSD is backed by dollar deposits, short-term U.S. Treasuries, and cash equivalents. Ripple provides transparency to investors and users by publishing independent third-party attestations on RLUSD reserves every month.
Additionally, accounting firm BPM conducts these audits to ensure that RLUSD is fully backed by collateral.
According to Coimarketcap, XRP is trading at $0.5404, increasing the price by 0.33%.