This week Ripple burned a significant number of its USD tokens, potentially indicating an imminent stablecoin announcement. The company has long planned to enter the stablecoin market, and recent events fuel speculation.
RLUSD Token Burn
On Wednesday, 46,676,120 Ripple USD (RLUSD) tokens were burned, according to the Ripple Stablecoin Tracker on the X social network. This event sparked interest in stabilization possibilities and Ripple's future plans.
Ripple's Stablecoin Plans
Although Ripple has not made an official announcement, many experts suggest that the token burn might signal the launch of a stablecoin. To enter the market, the company needs to overcome obstacles, such as gaining approval from the New York State Department of Financial Services (NYSDFS).
Current Stablecoin Market Scenario
Currently, the stablecoin market is led by Tether and Circle's USDC with market caps of $130 billion and $40 billion, respectively. Ripple began testing its new stablecoin in August with a limited number of partners. The coin will be available on the XRP Ledger and Ethereum network, with the possibility of supporting additional networks in the future.
While Ripple actively moves towards the launch of its stablecoin, the market is anxiously awaiting its public release. The question remains: when will this happen?
