Major Updates on Ripple’s Stablecoin (RLUSD) Adoption

Summary

• RLUSD has garnered additional backing, yet it still plays a minor role in the stablecoin market.
• Cardano is also considering incorporating this product into its platform, with Charles Hoskinson recently mentioning that the integration would be done at no cost as a gesture of goodwill towards the XRP community.

Increasing Adoption

Bitget, a major cryptocurrency exchange, has recently added Ripple’s stablecoin, RLUSD, to its trading options. As of May 29, users can trade RLUSD in its innovation and Web3 section, with pairs such as RLUSD/USDT and RLUSD/USDC. Withdrawals will be available starting May 30.

Furthermore, Euler Labs, a technology firm based in the UK that focuses on DeFi solutions, has also welcomed RLUSD, allowing its users to borrow, lend, or use the stablecoin as collateral.

RLUSD is designed to maintain a 1:1 peg with the US dollar. It launched officially in mid-December, and its early supporters included exchanges like Bitso, Uphold, Bitstamp, and Moonpay. In addition, Kraken and Gemini, both located in the US, have since shown their support.

Despite the rising interest and endorsements from well-known exchanges, RLUSD remains a minor player in the stablecoin arena. With a market capitalization exceeding $300 million, it represents merely 0.12% of the total market cap of nearly $250 billion in this segment.

Currently, Tether’s USDT leads the market with a valuation close to $153 billion, followed by USDC from Circle, which stands at approximately $61.2 billion.

It is noteworthy that Ripple is reportedly pursuing the acquisition of the company behind the second-largest meme cryptocurrency. According to sources, Ripple appears to be slightly leading Coinbase in the contest for Circle, which is also preparing for an initial public offering in the United States.

Nevertheless, Circle has subsequently refuted these claims, stating that it is not up for sale.

Plans for Cardano

In recent months, Cardano has been actively investigating the potential integration of Ripple’s stablecoin. Its founder, Charles Hoskinson, initially pointed to such plans towards the close of 2024, following an apology to the XRP community regarding previous remarks.

Last November, he disclosed that he had spoken with Ripple’s CEO, Brad Garlinghouse, during which they reportedly exchanged positive remarks and hinted at collaborative efforts.

Earlier this year, Hoskinson mentioned that the teams had discussed the integration of RLUSD, fueling speculation about a potential partnership when Ripple showcased Cardano’s logo in an X video shared in April. Recently, Hoskinson reaffirmed this objective, stating:

“We would like to find a path to get RLUSD on Cardano… We would do the integration for free because we like the XRP community, but it’s still an ongoing conversation.”

Nonetheless, no official confirmation has been made as of yet.