Ripple Begins Adding RLUSD Stablecoin to Cross-Border Payment Solution

Ripple has integrated its U.S. dollar-denominated stablecoin, Ripple USD (RLUSD), into its cross-border payment solution, Ripple Payments.

RLUSD features built-in global enterprise utility that improves the speed and efficiency of cross-border payments, the provider of digital asset infrastructure for financial institutions said in a Wednesday (April 2) press release.

Ripple is now enabling the use of RLUSD in the payment flow with select customers to improve their cross-border treasury operations, and the company will expand the use of the stablecoin for its payments customers over time, according to the release.

“Ripple is combining years of expertise in payments, an extensive payout network with near-global coverage, and a high-quality stablecoin built with compliance at its core, to provide fast, low-cost and scalable cross-border payments,” the release said.

Since its launch in December, RLUSD has gained a market capitalization that is nearing $250 million, per the release.

Ripple also announced Tuesday that RLUSD is now available on the Kraken crypto exchange, making it more accessible to retail users. The stablecoin was already available at partners and exchanges LMAX Digital, Zero Hash, Bitstamp and Bullish, according to the release.

In addition to facilitating instant settlement of cross-border payments, RLUSD can be used to access liquidity for remittance and treasury operations, integrate with decentralized finance (DeFi) protocols, bridge between traditional fiat currencies and the crypto ecosystem, and provide collateralization for trading tokenized real-world assets, per the release.

“In short order, RLUSD is being used for a number of use cases, including use as collateral in both crypto and TradFi trading markets,” Jack McDonald, senior vice president of stablecoins at Ripple, said in the release. “New exchanges are listing RLUSD on an ongoing basis and we’re actively working with NGOs who see the opportunity to streamline giving through stablecoins.”

When the company brought RLUSD to the world’s exchanges in December, Ripple CEO Brad Garlinghouse said the firm chose to launch its stablecoin under the New York State Department of Financial Services (NYDFS) limited purpose trust company charter, “widely regarded as the premier regulatory standard worldwide.”

“As the U.S. moves toward clearer regulations, we expect to see greater adoption of stablecoins like RLUSD, which offer real utility and are backed by years of trust and expertise in the industry,” Garlinghouse said at the time in a press release.