Ripple recently conducted multiple burns of its Ripple USD (RLUSD) stablecoin after minting approximately 50 million RLUSD last week. This round of burns comes as Ripple is warning its community about scammers trying to exploit the project, which is still in beta. Ripple remains focused on keeping the launch secure while continuing to test new stablecoin initiatives.
Ripple stablecoin project enters beta version
The blockchain giant, known for launching XRP in 2012, is currently testing RLUSD, a stablecoin pegged to the US dollar and backed by cash reserves. Although there has been on-chain activity, RLUSD is not yet available for purchase or trading. Ripple warned the community to remain vigilant as scammers may try to capitalize on the excitement of this new project.
R$470 million was burned in the recent minting scandal
According to the Ripple Stablecoin Tracker, Ripple burned multiple batches of RLUSD after minting R$47 million USD (burning batches of 115RLUSD and 120RLUSD four times in a row). These mints were performed in large quantities, with batches of 10 million coins and smaller groups of 6 million stablecoins minted over several days.
Initially, Ripple planned to release RLUSD on both the XRP Ledger and Ethereum. However, the company recently confirmed that the stablecoin will only launch on Ethereum in 2024 and that the XRP Ledger will have limited functionality. Nevertheless, Ripple remains committed to bringing RLUSD to market, and XRPL may be expanded in the future.
Tether’s USDT remains in the lead
As Ripple continues to develop its stablecoin, industry experts like Tether’s strategic advisor Gabor Garbacs emphasize that Tether’s USDT remains the top stablecoin. Despite the emergence of new competitors like RLUSD, USDT’s abundant liquidity and global presence give it a strong foothold in the market.
Ripple’s stablecoin project is promising, but challenges remain to ensure a safe and smooth public rollout. This evolving situation continues to be the focus of XRP news.
