Ripple, the issuer of XRP, has announced its intention to launch the stablecoin RLUSD in the European market, choosing Luxembourg as its main hub.
Luxembourg as a Strategic Center
Luxembourg was chosen as the key hub for the launch of RLUSD due to its developed infrastructure of international banks. Ripple plans to apply for an Electronic Money Institution (EMI) license through the newly established company Ripple Payments Europe SA. This initiative aims for full compliance with the Markets in Crypto-Assets (MiCA) regulations and will operate in 30 countries within the European Economic Area (EEA).
Global Strategy and Partnership with MiCA
According to a statement from a Ripple spokesperson, the company is actively collaborating with regulators in Luxembourg for market planning. MiCA, which came into force in July, imposes reserve and transparency requirements on stablecoin issuers. Ripple plans to ensure liquidity and enhance investor trust by establishing partnerships with banks like BNY Mellon.
Growth of Stablecoin Market and RLUSD Achievements
Since its launch, the supply size of the stablecoin RLUSD has surpassed $500 million, and its trading volume hovers around $94 million daily. RLUSD is already available on platforms such as Bitstamp, Kraken, and others. The company also aims for regulatory acceptance in other regions, including the Middle East.
Thus, Ripple aims to significantly expand its capabilities in the European stablecoin market by utilizing Luxembourg as a strategic platform for the development and distribution of RLUSD.
