Ripple Labs Gains NYDFS Approval for RLUSD

Highlights:

• Ripple Labs has finally gained the NYDFS approval for RLUSD.
• Brad Garlinghouse announced the latest development on his verified X handle, citing that trading on exchanges will begin soon.
• Following the positive news, XRP appreciated about 6.5% in its 24-hour-to-date price change data.

Around midnight on December 10, Ripple’s CEO Brad Garlinghouse announced via an X post that the cross-border payment platform had gained approval for its RLUSD from the New York Department of Financial Services (NYDFS). The fresh endorsement implies that the RLUSD will soon start appearing on some specific exchanges for trade purposes.

Relaying the significant achievement, the CEO wrote: “This just in…we have final approval from NYDFS for RLUSD! Exchange and partner listings will be live soon.” Still on the same tweet, Garlinghouse noted that Ripple’s official handle would disclose when the stablecoin begins trading on exchanges.

This just in…we have final approval from @NYDFS for $RLUSD! Exchange and partner listings will be live soon – and reminder: when RLUSD is live, you’ll hear it from @Ripple first.

— Brad Garlinghouse (@bgarlinghouse) December 10, 2024

The RLUSD Approval Happened Later than the Speculated Date

Meanwhile, the NYDFS approval comes a few days after market participants and top journalists speculated that the cross-border firm will launch the RLUSD during the first week of December. According to the projection, the New York regulatory watchdog intends to endorse the dollar-pegged stablecoin earlier. Hence, the release could happen around December 4.

However, events did not progress as speculated, with Ripple explaining reasons for the delay in one of its December 4 X posts. Per the cross-border payment outlet, the procedures for the stablecoin approval are progressing smoothly, as the parties involved are working in tandem to attain a common ground. The X post read: “Despite some speculation, RLUSD isn’t launching today. We’re in lockstep with the NYDFS on final approval and will share updates as soon as possible.”

Additionally, Ripple cited intentionality in its quest to ensure it launched its stablecoin by upholding regulatory standards at the highest level. Therefore, the payment company remains committed to following whatever directives the New York regulatory body has lined up to achieve its goals.

Despite some speculation, $RLUSD isn’t launching today. We’re in lockstep with the NYDFS on final approval and will share updates as soon as possible.

We are fully committed to launching under the supervision of NYDFS and upholding the highest regulatory standards. Stay tuned…

— Ripple (@Ripple) December 4, 2024

Preparations to Ensure a Successful RLUSD Launching

As expected, having disclosed its plans for a dedicated stablecoin in April this year, Ripple has been working to ensure the best project outcome for users. For context, the RLUSD has been running a public beta testing phase since August.

Since the trial began, the stablecoin has undergone tests on the XRP Ledger (XRPL) and the Ethereum mainnet. Notably, the cross-border payment firm intends to conduct more extensive reviews of its RLUSD on more blockchains and other Decentralized Finance networks (DeFi). Ripple believes that by incorporating comprehensive tests, its stablecoin will stand the test of time while offering users diverse utility.

Aside from the several tests, Ripple has scored collaborations with several exchanges that would aid in listing the RLUSD. The trading platforms include Bitstamp, Uphold, CoinMena, Bullish, MoonPay, Bitso, and Independent Reserve. With the diverse partnerships, the cross-border payment firm aims to reach a significantly larger user pool. Similarly, it hopes to integrate the RLUSD with leading financial outlets.

XRP Jumps 6.5%

Earlier this year, XRP enthusiasts raised concerns about Ripple’s intention to establish a dedicated stablecoin. According to them, the RLUSD emergence might result in the payment firm paying more attention to the stablecoin. In response, Ripple noted that both will complement each other, which invariably implies that positive RLUSD news should elicit an XRP rally.

Following the NYDFS approval, XRP appreciated by about 6.5% in the past 24 hours and changed hands at about $2.33. It currently ranks as the fourth most valuable cryptocurrency, with a market cap of about $133.3 billion. XRP’s 24-hour trading volume is up by about 12.15%, boasting roughly $24.37 billion in valuation.