Blockchain payments giant Ripple Labs Inc has significantly increased the quantity of its native stablecoin, RLUSD. Recent data from the Ripple Stablecoin Tracker indicates that the company has minted an additional 20,000,000 RLUSD tokens on the Ethereum network.
The latest minting is part of Ripple”s ongoing strategy to enhance liquidity for RLUSD, particularly during a period when overall stablecoin liquidity is declining due to negative market sentiment. This week alone, Ripple has completed two significant minting activities, each involving 20 million RLUSD on the Ethereum protocol. Prior to these minting events, the firm executed several token burns, totaling over 3,300,000 tokens across at least three separate instances.
With these actions, Ripple aims to bolster the liquidity of RLUSD, which is now on a trajectory to reach a market capitalization of $2 billion in the first half of this year if the current minting pace is maintained. As of the latest reports, RLUSD”s circulating supply stands at 1.55 billion, reflecting an increase of over 2% within a 24-hour period. This rise in supply is indicative of the ongoing minting activities on the Ethereum network.
The demand for RLUSD appears to be particularly robust on Ethereum, which may further facilitate its integration into various decentralized finance (DeFi) platforms. Notably, RLUSD”s increase in supply has propelled it into the top 50 list of cryptocurrency assets, surpassing more established tokens such as Ethereum Classic (ETC).
Ripple”s role in the growth of RLUSD cannot be overstated, as the firm is not only responsible for the minting and burning processes but also serves as the token”s primary advocate. In recent months, Ripple has announced several partnerships designed to promote RLUSD for institutional adoption. One of the most notable collaborations is with Zand, which aims to facilitate extensive RLUSD integration within the United Arab Emirates (UAE).
Although RLUSD is still trailing behind leading stablecoins like Tether (USDT) and Circle”s USDC, its growth trajectory has remained steady since its inception, highlighting Ripple”s strategic initiatives to enhance the token”s market presence.
