Ripple Labs has taken a significant step forward in the testing phase of its RLUSD stablecoin, issuing its largest batch of tokens to date. On the Ethereum blockchain, a total of 5,155 Ripple USD (RLUSD) tokens were minted at 5:53 p.m. UTC today, bringing the total circulating supply to 5,718 tokens. This latest issuance marks a crucial point in the stablecoin’s ongoing beta testing on both the Ethereum and XRP Ledger (XRPL) networks.
Ripple Mints Over 5,000 RLUSD Tokens
According to data from EtherScan, the blockchain firm carried out two earlier issuances, each releasing 485 RLUSD tokens, before the latest, much larger mint. Whilst, the latest 5,155 RLUSD issuance is the largest since the stablecoin project began in late August. By increasing the number of tokens in circulation, Ripple aims to intensify the beta testing phase and evaluate the stablecoin’s performance across multiple blockchain ecosystems.
Ripple’s decision to significantly expand RLUSD’s supply aligns with the company’s strategy to scale up testing efforts across Ethereum and XRPL. Moreover, the firm seeks to gather additional user feedback and data, essential for refining the stablecoin’s stability and overall functionality. Community members who have closely followed the RLUSD project are keenly interested in these milestones, as they indicate progress toward the stablecoin’s full-scale launch.
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In addition to the issuance of new tokens, Ripple recently burned 100 RLUSD tokens in two separate batches. This controlled reduction of the circulating supply highlights Ripple’s strategic efforts to manage inflationary pressures on the token’s value. The burning process, which permanently removes tokens from circulation, is a vital tool for maintaining the stablecoin’s peg to the US dollar.
The issuance and burning of RLUSD tokens form a key part of Ripple’s dual strategy in testing the stablecoin’s economic model. Through this approach, the company aims to ensure that RLUSD maintains a stable value and can provide sufficient liquidity on both the XRPL and Ethereum platforms. This process is integral to assessing RLUSD’s real-world applications and its impact on the market, particularly regarding liquidity.
XRP ETF Odds Surge
As Ripple inches closer to the full launch of RLUSD, the financial industry is weighing in. Matt Hougan, Chief Investment Officer (CIO) of Bitwise, recently offered a positive outlook for the stablecoin as the blockchain firm’s legal woes near conclusion. In addition, Hougan suggested that Ripple’s legal battle with the U.S. Securities and Exchange Commission (SEC) may soon be resolved, which could provide much-needed regulatory clarity for the broader market.
According to Hougan, once the lawsuit is concluded, the market could move toward launching a spot XRP ETF, further validating XRP’s place in the financial market. This potential development could significantly boost the XRP price, according to Hougan.
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Also Read: Ledger Live Adds Support for Ripple USD (RLUSD) Stablecoin
