RLUSD by Ripple stands out from most stablecoins in the way it is designed to operate in financial markets. Rather than focusing on broad retail applications, its structure and early integrations point to a role rooted in trading infrastructure, collateral frameworks, and regulated settlement flows. This distinction is becoming clearer with the latest updates common on X by Ripple CEO Jack McDonald and beyond expanded by market commentator Richard, who examined how RLUSD functions as a monetary instrument in real market systems.
Why RLUSD is different from typical stablecoins
Multiple stablecoins focus on increasing circulation and increasing market capitalization, often with retail users as the primary audience. RLUSD has a different structure. As McDonald emphasized, his priority is institutional readiness. A key part of this is monthly independent attestation, which includes third-party verification that RLUSD reserves fully support circulating supply.
This is indispensable for the institution. Banks, brokers and trading companies operate under strict compliance and risk policies. Without recurrent, independent verification, stablecoins cannot be treated as usable cash on the balance sheet. The approvals enable the storage, transfer and settlement of RLUSD without causing regulatory or accounting issues.
This basis explains why RLUSD was adopted as basic security LMAX Global Trading Marketplace. Collateral is what traders post to open and hold positions. To qualify, assets must reliably hold value throughout the trading day, move quickly between margin and settlement accounts, and remain reliable in changing conditions. It must also support remortgagement, which means it can be reused in multiple transactions. RLUSD meets these standards.
The same logic applies to decentralized finance. McDonald noted that actual asset deposits on Aave increased by about $400 million over the last quarter Most of this growth is driven by RLUSD. In this context, RLUSD serves as a stable cash component that enables the silky functioning of tokenized assets. Institutions need a unit of account that is accepted by regulators and recognized by internal systems, and RLUSD is designed to fulfill this role.
Which reveals the speed and access to the RLUSD market
RLUSD availability on Binance, Ethereum and OSL trading pairs reflect a focus on broad access rather than chasing volume. The goal is to ensure that RLUSD can emerge wherever liquidity already exists. The upcoming support of XRPL on Binance will further boost this flexibility.
Richard also noted the high transaction speed on RLUSD, which means the same units move frequently rather than sitting idle. Speed is an early signal of actual apply, especially for settlement and security movement. Market capitalization often occurs when these functions scale.
This phrase explains the true purpose of RLUSD. It aims to replace incapable structures such as prepaid accounts, captive collateral and cross-border balances. Within this model XRP serves as a bridge assetfollowing the strategy leads to compliance, and security acceptance is more vital than visibility.
Essentially, the goal of RLUSD is to quietly improve the flow and settlement of capital in the markets. This focus on functionality makes it fundamentally different.
Featured image created with Dall.E, chart from Tradingview.com
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