Ripple CEO Brad Garlinghouse predicts the stablecoin market could expand tenfold from its current $250 billion valuation to reach $1-2 trillion in coming years. Garlinghouse’s outlook accompanies significant momentum for Ripple’s USD-backed stablecoin RLUSD, launched in late 2024, which is advancing through key partnerships and regulatory developments.
Crucial to RLUSD’s adoption strategy is its partnership with banking giant BNY Mellon, focused on enhancing compliance infrastructure and institutional integration. This collaboration aims to embed RLUSD within traditional financial systems while maintaining regulatory alignment.
Regulatory progress is further catalyzing market growth. The anticipated GENIUS Act legislation is expected to establish stablecoins as legitimate financial instruments, providing clearer operational frameworks. Concurrently, Ripple is pursuing a banking charter via the Office of the Comptroller of the Currency and a Federal Reserve Master Account to solidify its position in the digital asset ecosystem.
The company’s native cryptocurrency XRP surged to a seven-week peak of $2.42 following RLUSD’s integration with payment processor Transak. This integration enhances cross-border transaction efficiency and liquidity access for the stablecoin.
Collectively, these developments signal Ripple’s strategic push to leverage regulatory advancements and institutional partnerships, positioning RLUSD at the forefront of an expanding stablecoin landscape.