Ripple has taken a significant step in its journey toward launching the RLUSD stablecoin by burning 64 RLUSD tokens during its beta testing phase. This action, carried out at the RLUSD Treasury, highlights Ripple’s commitment to innovation within the stablecoin market.
According to data from Etherscan, this token burn marks an important milestone as Ripple gears up for the full rollout of RLUSD, anticipated by the end of 2024.
Source: Etherscan
The RLUSD stablecoin is designed to complement XRP rather than replace it, as Ripple aims to secure a strong foothold in the competitive stablecoin sector, projected to grow to $2.8 trillion by 2028.
This is not the first instance of RLUSD tokens being burned. As reported by CNF, Ripple previously incinerated 185 RLUSD tokens during its private beta testing in late August, resulting in no tokens remaining in circulation. This approach underscores Ripple’s dedication to refining RLUSD ahead of its public launch, ensuring the stablecoin meets top-tier standards in terms of stability and performance. While beta testing continues, Ripple has emphasized that RLUSD will enhance XRP’s role in their ecosystem.
This strategy aligns with Ripple’s overarching goal of maintaining XRP as a central element of its operations while exploring new opportunities within the stablecoin arena.
### RLUSD’s Institutional Focus and Ripple’s Commitment to Scalability
It’s also important to note that RLUSD will initially be available exclusively to institutional investors. As mentioned earlier, Ripple has indicated that retail access to RLUSD will eventually be offered, but only through intermediaries.
This phased approach reflects Ripple’s focus on establishing a robust foundation for RLUSD, ensuring its scalability and security prior to a broader release. Additionally, the XRP Ledger trust line, which is valued at $1 trillion for RLUSD, reinforces Ripple’s commitment to scalability and user trust, promising a stablecoin capable of managing high transaction volumes while providing a secure platform for users.
Meanwhile, XRP has encountered significant market challenges, recently failing to maintain a value above $0.60 and reversing all gains made in the previous 48 hours. Currently, XRP is trading around $0.5878.
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