Price fluctuates 20% before stabilizing

Ripple USD (RLUSD) is officially available on global exchanges. This enterprise-grade stablecoin combines the stability of fiat money with the efficiency of blockchain technology. RLUSD will operate on two networks: Ethereum and Ripple’s native XRP Ledger (XRPL). Initially, the price of the stablecoin fluctuated within a 20% range, but it is pegged to the US dollar at a 1:1 ratio, ensuring stability over time.

Ripple CTO David Schwartz had previously said that there could be supply shortages at first, causing the price to fluctuate. However, once supply stabilizes, the price will quickly return to around $1.

He also said: “Since the idea of ​​$RLUSD launching many months ago in a matter of hours, I have been waiting for more use cases to be realized in XRPL and more on-chain liquidity with a reliable stablecoin like RLUSD. “There are countless opportunities here for developers and users who want the benefits of XRPL, RLUSD and XRP.”

The stablecoin will be available on exchanges such as Uphold, Bitso, and CoinMana, with more expected by the end of the year. Ripple’s stablecoin is fully compliant and backed by US dollar deposits, government bonds, and cash equivalents. This provides stability and transparency that many stablecoins lacked.

RLUSD aims to bridge the gap between traditional fiat money and cryptocurrencies, offering benefits such as instant cross-border payments, liquidity for remittances, and seamless integration with DeFi protocols. This is huge for XRP and the broader crypto ecosystem.

Ripple stablecoin will be a game changer. It is backed by years of experience in the financial system and offers a level of compliance and trust that is currently unmatched. With major partners and exchanges expected to adopt it, RLUSD has the potential to challenge dominant stablecoins like Tether and USDC.