XRP News Today: Africa’s Next Financial Frontier: Ripple’s RLUSD Powers a Drought-Proof Dollar

Ripple's recent strategic expansion into the African market with its dollar-backed stablecoin, RLUSD, has further solidified the role of XRP in the broader cryptocurrency ecosystem. Launched in late 2024, RLUSD is being distributed to institutional and corporate users across Africa through partnerships with Chipper Cash, VALR, and Yellow Card. This move aims to provide a regulated, reliable, and efficient digital dollar tailored for cross-border payments, liquidity management, and on-chain settlements [1]. The stablecoin has already grown to over $700 million in supply, primarily on the Ethereum and XRP Ledgers, according to data from RWA.xyz [1]. This institutional-grade stablecoin is expected to facilitate treasury operations, remittances, and serve as collateral for tokenized assets such as commodities and securities.

The growth of RLUSD is occurring at a time when stablecoins are increasingly being used as a cheaper and faster alternative to traditional payment channels, especially in emerging markets with limited access to banking infrastructure. In parts of Africa, digital dollars like USDT are already being used for savings and cross-border transfers, as reported by Castle Island and Brevan Howard. RLUSD is positioned to compete directly in this space, offering a more regulated and institutional-focused option that addresses the liquidity challenges faced by local currencies [1]. The deployment of RLUSD is also being tested in innovative use cases, such as blockchain-powered drought and rainfall insurance programs by Mercy Corps, where the stablecoin enables automated payouts based on satellite data and weather conditions [1].

The RLUSD initiative is also expected to have a direct impact on the XRP token. According to Georgios Vlachos, cofounder of Axelar, the launch of RLUSD could drive increased demand for XRP, as transactions involving the stablecoin predominantly settle on the XRP Ledger. Gas fees for these transactions are paid in XRP, and each transaction results in the burning of a small amount of XRP, which could benefit XRP holders [2]. This dynamic has already contributed to a notable price increase for XRP in recent weeks, as investors respond to both the RLUSD rollout and broader favorable developments in the crypto space, including the potential for an XRP ETF and a shift in regulatory policy under the Trump administration [2].

In addition to regulatory tailwinds, XRP has shown strong technical performance, with recent price action suggesting a potential breakout on the monthly chart. Analysts, including crypto expert Steph, have projected a 1,250% increase in XRP’s price in 2025, with the token potentially reaching $35 [2]. This optimism is supported by a growing institutional interest, as evidenced by a significant transaction of 60 million XRP reported by Whale Alert, which points to increased accumulation activity among large holders [2]. Furthermore, XRP has already surpassed major competitors like Solana in market capitalization, now standing as the world’s fourth-largest cryptocurrency with a market cap of approximately $138 billion [2].

The convergence of institutional-grade infrastructure, regulatory developments, and growing adoption in emerging markets suggests that XRP is well-positioned for continued growth in 2025. As RLUSD gains traction and the XRP Ledger supports a broader range of financial services, the role of XRP in facilitating these operations is likely to expand, reinforcing its status as a key player in the evolving crypto ecosystem.

Source: [1] Ripple Brings $700M RLUSD Stablecoin to Africa, Trials Extrem... (https://www.coindesk.com/business/2025/09/04/ripple-brings-usd700m-rlusd-stablecoin-to-africa-trials-extreme-weather-insurances) [2] XRP to $30? Ripple's RLUSD Could Be the Key to a ... (https://bravenewcoin.com/insights/xrp-to-30-ripples-rlusd-could-be-the-key-to-a-massive-2025-breakout)