In brief
- Ripple’s stablecoin is expanding deeper into Ethereum’s ecosystem.
- RLUSD’s expansion to layer-2 networks is expected next year.
- Ripple gained approval for a national trust charter last week.
To support the growth of its RLUSD stablecoin, Ripple said in a press release on Monday that the token is expanding next year to layer-2 networks on Ethereum.
The stablecoin, which first debuted on the XRP Ledger and Ethereum, will be tested on Optimism, Coinbase’s Base, Kraken’s Ink, and Uniswap’s Unichain, the company said. The integration is set to involve interoperability protocol Wormhole, Ripple added.
The company described Optimism as a “crucial entry point,” considering that several layer-2 networks utilize Optimism’s OP Stack as part of a so-called Superchain, where scaling networks can benefit from shared standards and a communication layer.
“Stablecoins are the gateway to DeFi and institutional adoption,” Ripple SVP of Stablecoin Jack McDonald said in a statement. “We are not just expanding utility; we are setting the definitive standard where compliance and on-chain efficiency converge.”
XRP Ledger has a built-in decentralized exchange, which debuted alongside the network in 2012, but Ripple said that the future of digital assets is “undeniably multichain,” adding that “stablecoins must exist wherever demand and utility are.”
XRP Ledger launched an Ethereum-compatible network in June, which had generated just $80 in trading volume over the past week, according to data provider DefiLlama. It hosts eight projects, including three decentralized exchanges, a launchpad, and an NFT marketplace.
Monday’s integration could support RLUSD’s use in consumer-facing services, such as swaps, checkouts options, and payments, the press release states. Over the past day, RLUSD has generated $32 million in trading volume, according to data provider CoinGecko.
Trading volume was concentrated on Bullish, the crypto exchange that went public in August. Across a few trading pairs, Bullish had facilitated $24 million in trading volume, however, RLUSD also had a presence on Kraken and Bitstamp, the exchange acquired by Robinhood.
Wormhole said in October that its NTT token standard powers over 100 digital assets that are natively multichain, including BlackRock’s BUIDL fund, as well as the Apollo Diversified Credit Fund. The funds represent the tokenization of government debt and credit, respectively.
Last week, Ripple CEO Brad Garlinghouse celebrated the company’s conditional approval to establish a national trust banking charter on X, describing it “a massive step forward” for the company’s stablecoin, which was worth $1.3 billion on Monday.
Still, the green light from the Office of the Comptroller of the Currency flashed simultaneously for stablecoin issuers Paxos and Circle, among others.
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Source: https://decrypt.co/352375/ripple-expand-1-3-billion-rlusd-stablecoin-ethereum-layer-2-networks
