Skip to content
Crypto News Focus logo CNF_CRYPTO_NEWS_FOCUS_LOGO 8

Crypto News Focus

your day to day crypto news site

Primary Menu
  • Home
  • News
    • Bitcoin News
    • Ripple XRP news
    • Ethereum News
    • Cardano News
    • Shiba Inu News
    • Pi Network News
    • More
  • Analysis
  • PR Desk
  • About Us
  • General Policy & Privacy
  • Guides
    • Bitcoin Guides
    • Pi Network Guide
    • Cardano Guide
  • Politics
  • Tech
  • Home
  • News
  • Ripple Warns Investors as RLUSD Soars Pre-Launch
  • News

Ripple Warns Investors as RLUSD Soars Pre-Launch

Cal Evans 16 December 2024
Ripple Logo on a black background
  • Ripple’s upcoming US dollar-pegged stablecoin, RLUSD, has sparked early speculative demand, with pre-launch bids inflating its value far above its intended $1 parity.
  • Ripple’s leadership, including CTO David Schwartz, cautions against FOMO-driven investments, emphasizing that RLUSD’s long-term purpose is to complement XRP in stable and efficient cross-border payment solutions.

Ripple, a leader in blockchain-based financial solutions, is gearing up for the much-anticipated launch of its US dollar-pegged stablecoin, RippleUSD (RLUSD). While excitement brews, Ripple’s CTO David Schwartz has issued a cautionary note to investors about potential scarcity and volatility in the stablecoin’s initial phases.

The Hype Around RLUSD

Ripple’s stablecoin, designed to maintain a 1:1 parity with the US dollar, has already sparked significant interest. On X (formerly Twitter), Schwartz highlighted that pre-launch activity is inflating RLUSD’s perceived value. In one instance, a Ripple wallet named Xaman recorded bids valuing 1 RLUSD at a staggering 511 XRP, equivalent to approximately $1,244 at current exchange rates. This surge in price is attributed to speculative demand and the symbolic value of owning the first RLUSD units.

However, Schwartz advises against getting swept up in the fear of missing out (FOMO). “Please refrain from investing in stablecoins out of FOMO; this is not a chance to become wealthy,” he warned. The CTO reassured potential buyers that once the supply stabilizes, RLUSD’s price will align closely with its intended $1 peg.

A Strategic Asset for Ripple’s Ecosystem

The launch of RLUSD isn’t just a standalone event—it’s a strategic move to complement Ripple’s ecosystem, particularly its flagship token, XRP. Monica Long, Ripple’s president, previously described RLUSD as “complementary and additive” to XRP. Ripple plans to pair RLUSD with XRP in its cross-border payment solutions, ensuring stability and liquidity while expanding its global payment infrastructure.

Brad Garlinghouse, Ripple’s CEO, revealed that RLUSD has already secured final approval from the New York Department of Financial Services, underscoring Ripple’s commitment to regulatory compliance. This approval sets the stage for RLUSD to target large institutional players, a key audience for Ripple’s innovative financial tools.

Looking Ahead: Stability Is Key

While early speculative bids have created a buzz around RLUSD, Ripple’s leadership emphasizes that stability is the ultimate goal. The pairing of RLUSD with XRP is expected to enhance liquidity and guard against price de-pegging, making the stablecoin a reliable option for global financial transactions.

As Ripple prepares for the stablecoin’s imminent launch, set to happen “soon,” potential investors should remain cautious. RLUSD’s long-term value lies not in speculative gains but in its role as a stable and efficient component of Ripple’s cross-border payment solutions.

Continue Reading

Previous: IOTA’s Tangle: The Crypto Revolution Shaping the Future of Finance
Next: Chainlink: Ushering in a New Era of Smart Contracts

Related Stories

Ripples's XRP COIN
  • News

Ripple Legal Win Falls Flat as XRP Slips 3% Amid SEC Disappointment

vivian 27 June 2025
Ripple LOGO and price analysis
  • News

Ripple Lawsuit Update: SEC Case No Longer Targets XRP, Legal Experts Confirm

vivian 27 June 2025
Pi Network PI Logo image on black background
  • Analysis

Pi Network Jumps 38% on AI Integration Hints and Google Rumors

Cal Evans 26 June 2025

For general inquiries, please email us at Info@cryptonewsfocus.com

Crypto news focus is your day-to-day crypto news site. Get all the latest News and trends in the crypto, blockchain, and DeFi space. For more info and inquiries, reach out via email at info@cryptonewsfocus.com

You may have missed

Ripples's XRP COIN
  • News

Ripple Legal Win Falls Flat as XRP Slips 3% Amid SEC Disappointment

vivian 27 June 2025
Ripple LOGO and price analysis
  • News

Ripple Lawsuit Update: SEC Case No Longer Targets XRP, Legal Experts Confirm

vivian 27 June 2025
Pi Network PI Logo image on black background
  • Analysis

Pi Network Jumps 38% on AI Integration Hints and Google Rumors

Cal Evans 26 June 2025
Chainlink LINK Image via Cryptonewsfocus.com
  • Analysis

Chainlink Hits Record 769K Holders as MVRV Ratio Signals Opportunity

Sean Williams 26 June 2025

Social Media

Crypto News Focus © All rights reserved | MoreNews by AF themes.
Go to mobile version
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.Ok