Important Update Regarding Ripple’s Stablecoin: Details

The NFT Unicorn RippleStablecoin_CB Important Update Regarding Ripple’s Stablecoin: Details Crypto News

TL;DR

  • Ripple plans to introduce a stablecoin on the XRP Ledger and Ethereum later this year, aiming to bridge traditional finance and the cryptocurrency sector.
  • The United States Securities and Exchange Commission (SEC) has labeled the product an “unregistered crypto asset,” continuing its longstanding legal battle with the company.

Here’s the Latest Info

Ripple made the headlines earlier this year when it disclosed that it would launch a stablecoin pegged to the American dollar. CEO Brad Garlinghouse claimed the monetary product could serve as a bridge between traditional finance and the cryptocurrency sector.

In a recent post on X, the team revealed further details, informing that the stablecoin will be called Ripple USD (ticker RLUSD). It will be available on the XRP Ledger and Ethereum and will see the light of day later this year.

Some crypto enthusiasts, including X user Alex Cobb, have previously suggested that the upcoming product could become an essential factor triggering a potential price rally for Ripple’s native token, XRP. 

Despite not being live yet, RLUSD has already become a subject of controversy. Somewhat expectedly, the criticism came from the United States Securities and Exchange Commission (SEC), which labeled it an “unregistered crypto asset.”

The agency has been confronting Ripple for years. It filed a lawsuit in December 2020, accusing the firm and some of its executives of illegally raising more than $1.3 billion by selling XRP in an unregistered security offering.

The case reached its trial phase in April this year and passed through numerous developments in the following months. Some might view the SEC as the underdog since Ripple secured three partial court wins in 2023, which resulted in a substantial price resurgence for XRP. Those curious to learn more about the lawsuit and its possible impact on the cryptocurrency, feel free to take a look at our dedicated video below:

What Else Is on Ripple’s Agenda?

The launch of RLUSD is not the only thing the company plans to focus on in the next three years. Earlier this year, CEO Garlinghouse stated that expanding globally remains one of the other priorities:

“We are going to keep expanding even though the US market, partly from a regulatory point of view, has been slow to adopt. The non-US market has been really, really strong for us.”

The boss also outlined Ripple’s ambition to dominate the future financial infrastructure, emphasizing XRP’s potential role in the monetary system:

“We think that opportunity is huge, we think that’s going to be great for Ripple, we think it’s going to be great for XRP so I’m very very optimistic about that. I just think that the US needs to figure it out.”

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Source: CryptoPotato