Ripple’s RLUSD stablecoin is advancing through rigorous testing as the company aims to expand its presence in the stablecoin market. Initially introduced in April, RLUSD entered beta testing in August but remains accessible only to Ripple’s enterprise partners. The recent surge in minting activity suggests the official launch may be approaching.
Since September 28, Ripple has minted a total of 1.7 million RLUSD tokens across the Ethereum blockchain and XRP Ledger, according to the RLUSD tracker. Notably, on September 29, the minting process saw a significant spike, with 800,000 tokens created within just 24 hours. Vet, an XRPL dUNL Validator, reported that 99% of the entire RLUSD supply was minted just a day before his update.
At the time of the report, the total RLUSD supply reached 812,034 tokens on both Ethereum and the XRP Ledger. Despite the increase in minting, RLUSD is still unavailable for public trading. Ripple has stated they are waiting for regulatory approval before launching the stablecoin to broader markets.
Related article: Ripple CTO Endorses RLUSD Stablecoin as Beneficial for XRP
Testing and Burning in Private Beta
Ripple continues to test the RLUSD stablecoin, small amounts being burned, including as little as 24 tokens. These burns are part of a deliberate testing strategy. While testing proceeds, discussions have emerged around RLUSD transaction fees on Ethereum and the XRP Ledger.
Vet noted that transaction costs on Ethereum are higher than those on the XRP Ledger. Additionally, Ripple reportedly overpaid for gas fees during testing, likely as a precaution.
Reserve Attestations and Future Outlook
Although concerns have arisen about RLUSD’s stability and backing, Vet emphasized that these are merely test runs. Ripple has committed to providing monthly reserve attestations upon the stablecoin’s official launch, aiming to address concerns about its financial backing.
Related article: Ripple Aims for Stablecoin Market with RLUSD Trademark
Ripple’s stablecoin project signals a broader shift in strategy. Ripple CTO David Schwartz stated that XRP might be better suited for payments on the XRP Ledger than RLUSD. This shift comes as Ripple increases its focus on Ethereum and smart contract integration. Ripple has also been conducting stock buybacks, further aligning its long-term goals.
Monica Long, Ripple’s President, highlighted the distinct roles of RLUSD and XRP in Ripple’s ecosystem. While XRP remains the primary asset for payments, RLUSD is designed to enable rapid settlement and better integration into traditional financial systems.
