New York regulator set to approve Ripple’s RLUSD stablecoin: Report
The New York Department of Financial Services (NYDFS) is expected to approve Ripple Labs' RLUSD stablecoin — an overvalued dollar-peg stablecoin — in the coming days, sources told Fox Business.
In the year According to a November 29 Fox Business report, approval of the Dollar Page stablecoin by New York's financial regulator could see production as early as December 4. In August, Ripple Labs released the following statement about the ecosystem's future. :
“There is a clear need for stablecoins that provide trust, stability and utility. Once RLUSD is available, Ripple will use both RLUSD and XRP to serve its global customers and improve their experience significantly by using cross-border payments.”
When the stablecoin is announced, the company leaves the fear on XRP (XRP) holders that the company will focus on the new stablecoin product for cross-border liquidity. However, Ripple Labs has not confirmed such a pivot.
Related to Ripple, Archax is the first tokenized money market fund on the XRP Ledger
Ripple develops RLUSD stablecoin.
Ripple announced plans to develop RLUSD stablecoin in April 2024 to compete with USD Coin (USDC) and Tether (USDT).
Ripple executives predict that the stablecoin market capitalization will reach $2 trillion by 2028, stating that there is plenty of room for more stablecoin issuers to claim a slice of the multi-trillion pie.
In August, Ripple began testing its RLUSD stablecoin on the XRP Ledger and Ethereum mainnet, and announced plans to expand the stablecoin to other blockchains at an unspecified date.
Ripple Labs also promises to audit both fixed cash and short-term cash balances and provide monthly reports on collateral.
In October, Ripple announced RLUSD exchange partners that included Uphold, Bitstamp, Bitso, MoonPay, Independent Reserve, CoinMENA and Bullish.
At the time, Ripple founder and CEO Brad Garlinghouse reiterated the company's commitment to increasing the liquidity of RLUSD like XRP and facilitating faster settlement times for stablecoins. The company is focused on compliance with regulators under the New York Trust Company Charter.
Magazine: Unstable Coins: Devaluation, Bankruptcy and Other Risks Ahead.
