Ripple is intensifying activities related to the development of its RLUSD stablecoin on the Ethereum and XRP networks. Data from the Ethereum blockchain tracker revealed Ripple recently minted 300,000 RLUSD in line with the stablecoin’s recent testing. Onchain data shows that Ripple Labs executed similar mints.
Ripple Labs’ on-chain development activities around its stablecoin Ripple USD on the XRP and Ethereum blockchains have intensified lately. Ethereum blockchain explorer Etherscan revealed the firm minted 300,000 RLUSD at its Treasury on 28th September at 03:13:47 AM UTC.
Ripple Stablecoin Tracker, an X account following stablecoin activity around the prospective stablecoin flagged the mint transaction. The post sparked a range of frenzied reactions among Ripple’s community members.
Ripple intensifies on-chain development activity around its stablecoin
The mint was one of the recent RLUSD on-chain activities flagged by the X account, Ripple Stablecoin Tracker. The X user also flagged another mint worth 50,000 RLUSD minted at the RLUSD Treasury. According to data from Etherscan, the transaction happened on 27th September at 11:38:59 PM UTC.
Ripple Labs also minted 5,515 USD on September 25th at 05:35:59 PM UTC. On September 24th, Ripple minted another 485 USD and burned 50 RLUSD. These on-chain activities and many more have been ongoing since Ripple Labs announced private beta testing on the stablecoin on August 9th.
Notably, Ripple mentioned in the post that RLUSD had not yet received regulatory approval and, therefore, was not available for purchasing or trading.
Testing, testing…RLUSD! We’re excited to share that Ripple USD (RLUSD) is now in private beta on XRP Ledger and Ethereum mainnet. RLUSD has not yet received regulatory approval and therefore is not available for purchase or trading – please be cautious of scammers who claim they…
— Ripple (@Ripple) August 9, 2024
The randomness of the volumes and frequency of mints may indicate they are ramping up the intensity of the testing phase. Ripple announced the testing process for the stablecoin had commenced a few days after the firm won the years-long case against the U.S. Securities and Exchange Commission (SEC).
Ripple CEO Brad Garlinghouse announced the stablecoin at the XRP Ledger Community Summit (XRPL Apex) held in Amsterdam. Garlinghouse stated that the stablecoin is meant to complement the overall objectives Ripple aims to achieve through its ecosystem. Ripple’s stablecoin will have to compete with Tether’s USDT and other stablecoins.
Monica Long comments on RLUSD’s development
Ripple President Monica Long explained in an interview on June 26th that RLUSD’s use cases will involve settlement, and the entity intends to integrate the stablecoin into its settlement solution.
“We believe stablecoins and XRP have different use cases for payments and other transactions. For example, DEXs on XRPL will be able to use RippleUSD very efficiently, while XRP will continue to be used for transactions with long-tail, smaller market cap crypto assets.”
Long also explained that XRP and RLUSD will operate independently and provide solutions to different use cases. Long stated that Ripple has expanded its objectives from offering cross-border payments with XRP to integrating productivity between blockchains and traditional finance with USD.
RLUSD is a collateral stablecoin pegged to the U.S. dollar in a ratio of 1:1. The stablecoin is backed by dollar cash deposits, cash equivalents short-term U.S. Treasury bills.
