Congress has passed the GENIUS Act, establishing a regulatory framework for stablecoin issuers that significantly enhances Ripple’s competitive position with its RLUSD stablecoin. The legislation provides clarity enabling RLUSD to compete with dominant players like USDC and USDT while smoothing pathways for institutional adoption.
The regulatory certainty introduced by the act creates favorable conditions for RLUSD’s growth trajectory by facilitating institutional partnerships and integration into financial systems. Ripple could leverage this momentum to evolve into a core infrastructure provider within the U.S. financial ecosystem.
Effects of RLUSD transactions on XRP’s tokenomics remain negligible, with approximately 14 million XRP burned to date—a minute fraction of the 59.1 billion XRP circulating supply. Meanwhile, the ongoing SEC lawsuit against Ripple maintains regulatory uncertainty over XRP.
The persistent legal ambiguity may accelerate Ripple’s strategic pivot toward RLUSD utilization to reduce ecosystem reliance on XRP. This shift highlights Ripple’s balancing act between navigating complex regulations while deploying RLUSD across financial networks.