Ripple‘s RLUSD, a stablecoin backed by the US dollar, has eclipsed PayPal USD in market capitalization, solidifying its position among the world’s leading stablecoins. According to CoinGecko’s data, RLUSD’s market cap has soared to approximately $2.71 billion, while PayPal USD lags slightly behind at $2.69 billion.
Rapid Growth in Under Two Years
Officially launched in December 2024, RLUSD has reached this milestone in less than two years, underscoring its swift growth in the cryptocurrency market. The stablecoin has expanded its utility through burgeoning institutional partnerships and increased exchange integrations.
Vet, a validator on the XRP Ledger, highlighted RLUSD’s current ranking among the top five US dollar-backed stablecoins, emphasizing its potential to ascend into the top three.
Vet noted, “RLUSD is now among the top five US dollar-backed stablecoins and holds the potential to climb into the top three.”
Growing Influence on the XRP Ledger
Vet emphasized Ripple’s long-standing commitment to advancing the infrastructure of the XRP Ledger, suggesting that wider use of RLUSD could accelerate traditional financial institutions’ interest in this blockchain. The increasing volume of transactions and heightened utilization on the XRP Ledger are enhancing RLUSD’s industry prominence.
Moreover, RLUSD has facilitated numerous integrations with banks and cryptocurrency exchanges. These integrations are predicted to encourage financial institutions not only to support the XRP Ledger infrastructure but also to deploy other tokenized assets across this network.
Corporate Partnerships Fuel Expansion
RLUSD’s recent ascent follows Ripple’s announcements of new corporate partnerships and exchange integrations. On October 28, Ripple unveiled a collaboration with Coinbase. Through this partnership, RLUSD is made available to both individual and institutional users via Coinbase Exchange, Coinbase Prime, and its retail trading application.
Coinbase also announced its support for RLUSD on the XRP Ledger, Ethereum, and Base networks, significantly extending the stablecoin’s reach across different blockchains.
Coinbase explained, “By supporting RLUSD on XRP Ledger, Ethereum, and Base networks, the stablecoin is now accessible to both individual and institutional users.”
Enhanced Support from the Banking Sector
Ripple’s expansion in the banking sector is also growing. It has been reported that the custodial relationship with BNY, which holds RLUSD’s reserves, is deepening. Additionally, in October, Standard Chartered initiated institutional custody services for RLUSD on the XRP Ledger, indicating RLUSD’s increasing visibility not just in the crypto domain but also within traditional finance.
