Ripple is close to getting approval to launch its new stablecoin RLUSD from the New York Department of Financial Services (NYDFS).
New Opportunities for Ripple
According to reliable sources, the NYDFS is expected to grant Ripple a Limited Purpose Trust Charter in the coming days, paving the way for the launch of RLUSD as early as December 4. This would allow Ripple to enter the heavily regulated U.S. stablecoin market, known for its strict regulatory standards for digital assets.
Stablecoin Market Competition
The approval would benefit Ripple in its competition with industry leaders such as Circle (USDC), Paxos (USDP), and Gemini (GUSD). The Limited Purpose Trust Charter status would allow Ripple to legally offer RLUSD to the public in New York.
Legal Challenges and XRP Growth
Ripple's flagship product, RippleNet, was designed for faster and more cost-effective cross-border payments. However, its native cryptocurrency, XRP, which plays a central role in these transactions, faces legal challenges in the U.S. The ongoing legal battle with the SEC affects XRP's status. Despite this, following Donald Trump's recent election victory, the price of XRP increased to $1.90, buoyed by expectations of favorable crypto regulations.
Ripple is confidently expanding its presence in the digital asset market despite current regulatory challenges. The launch of RLUSD may prove to be a significant step in strengthening its position in the U.S.