Ripple Partners with Major Exchanges to Launch Ripple USD Stablecoin

Ripple is gearing up for the launch of its new dollar-pegged stablecoin, RLUSD, by collaborating with several leading crypto exchanges. The company recently announced partnerships with Uphold, Bitstamp, Bitso, MoonPay, Independent Reserve, CoinMENA, and Bullish to facilitate this significant development.

RLUSD: A Step Towards Decentralized Finance

The beta testing phase for RLUSD commenced two months ago, operating on both the Ethereum (ETH) mainnet and the XRP Ledger (XRPL). Ripple first revealed its plans for the stablecoin in April 2024. However, the launch faced scrutiny when the U.S. Securities and Exchange Commission (SEC) argued in a May court filing that the planned stablecoin constituted an “unregistered crypto asset.” The court has yet to reach a conclusion regarding these claims.

Ripple emphasizes that RLUSD is designed to serve both decentralized finance (DeFi) and traditional finance sectors. The company asserts that the stablecoin will be backed by cash deposits, U.S. government bonds, and cash equivalents, all subject to monthly audits by third parties. This structure aims to provide a reliable and secure asset for users.

Regulatory Oversight and Advisory Board

RLUSD will be issued under a New York Trust Company Charter, ensuring it operates within a highly regulated framework. To further bolster its credibility, Ripple has formed an advisory board for the project, which includes notable figures like Shelia Bair, the former chair of the Federal Deposit Insurance Corporation (FDIC), as well as CEOs and Ripple co-founder Chris Larsen.

Regarding the RLUSD initiative, Bair stated, “Stablecoins will play a key role in modernizing our financial infrastructure and broadening financial inclusion. I am honored to join Ripple’s advisory board as they launch their stablecoin with a compliance-first approach. As the digital assets industry grows, responsible innovation will be paramount to their adoption, prioritizing both consumer protection and financial stability.”