XRPL’s Evolutions: Ripple and RLUSD Impacts

The XRP Ledger (XRPL) recently implemented two significant upgrades, sparking excitement and speculation about their potential effects on Ripple’s stablecoin RLUSD and the broader ecosystem.

First Two XRPL Upgrades

On Friday, the upgrades 'fixEmptyDID' and 'fixPreviousTxnID' were backed by 31 validators, surpassing the required threshold for implementation. The 'fixEmptyDID' upgrade aims to eliminate the creation of empty DID ledger entries, enhancing ledger efficiency by preventing unnecessary data storage. In contrast, the 'fixPreviousTxnID' upgrade focuses on improving transaction tracking by adding critical fields to ledger entries, allowing for better tracing of transaction histories.

Impact on RLUSD

However, with this major upgrade, many are questioning if it will have any impact on Ripple’s RLUSD in the future. According to Monica Long, Ripple President, both have different purposes and uses: RLUSD is aimed at institutional use, while XRP focuses on liquidity and transactions. As the XRP Ledger grows, the company may explore innovative ways to enhance its capabilities.

Aiming to Launch RLUSD This Year

These enhancements are set to optimize XRPL’s capabilities, enabling more complex applications while streamlining operations. As Ripple beta-tests its stablecoin on both XRPL and Ethereum, attention shifts to how these upgrades may affect RLUSD’s functionality. Ripple President Monica Long has indicated that the launch of RLUSD is anticipated this year, pending U.S. approval. She emphasized the stablecoin’s potential to address a broader range of use cases compared to XRP, with decentralized exchanges (DEXs) on XRPL poised to benefit from these developments.

Overall, the recent upgrades could significantly strengthen the ecosystem for both RLUSD and XRP, enhancing their functionality and flexibility in various applications. As the anticipation builds around the launch of RLUSD, the XRPL community remains optimistic about these transformative changes.