The CEO of Ripple Drops a Bomb on the Stablecoin Market: Will RLUSD Save It?
Brad Garlinghouse, the CEO of Ripple, has talked on the stablecoin market’s current situation and its potential value in the next years. He also discussed the reasons why his company’s RLUSD stablecoin might eventually take the lead in the industry.
Ripple CEO Breaks Silence On Stablecoin Market Growth
The CEO of Ripple stated in a CNBC interview that the stablecoin market is currently valued at $250 billion, and many analysts believe it might reach $1 trillion to $2 trillion in the next years. He went on to say that these stablecoins have grown significantly. With a market valuation of about $160 billion, Tether’s USDT is currently in first place.
Stablecoins might reach $2 trillion in the upcoming years, according to experts including US Treasury Secretary Scott Bessent. Additionally, Bessent recently made reference to projections that the market for stablecoins might reach $3.7 trillion by the end of the decade. He thinks laws like the GENIUS Act make this more plausible.
Since his company issues the RLUSD stablecoin, Ripple CEO Brad Garlinghouse has a stake in the stablecoin market. Although Garlinghouse has been utilizing stablecoins in their payment processes for institutional clients, they acknowledged that they entered the market somewhat late. He said that in order to better serve their customers, this is what led to the decision to launch the RLUSD stablecoin.
Garlinghouse is certain that the RLUSD stablecoin will profit from the upcoming expansion, particularly as they carry on providing services to their institutional customers. The CEO of Ripple, meanwhile, pointed out that in the short months after its introduction, the stablecoin has already surpassed the $500 million market valuation milestone. The stablecoin’s market capitalization has increased by more than 3% during the past day, to $517 million, according to CoinMarketCap data.
Plans To Grow The RLUSD Stablecoin
To expand the RLUSD stablecoin, Ripple has submitted an application to the OCC for a national banking license. The US Office of the Comptroller of the Currency (OCC) and the New York Department of Financial Services (NYDFS) will have regulatory authority over the company’s stablecoin if it is approved. “The dual nature of that regulation is a new and unique benchmark for trust in the stablecoin market,” said the CEO of Ripple.
Garlinghouse discussed this move once more in the CNBC interview. The CEO of Ripple stated that compliance and following current laws have been the company’s main priorities. In order to get an advantage in the stablecoin market, he proposed that the RLUSD stablecoin is headed toward being the most regulated stablecoin.
It’s important to note that Ripple and BNY Mellon have teamed up to hold RLUSD’s USD reserves. The cryptocurrency company is certain that this will increase confidence in its stablecoin.
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