Ripple’s Regulated Stablecoin Aims to Reshape Africa’s Financial Future

Ripple, a digital asset company focused on payments, has expanded its U.S. dollar-backed stablecoin, Ripple USD (RLUSD), to institutional users across Africa through new partnerships with fintech platforms Chipper Cash, VALR, and Yellow Card. This initiative aims to provide businesses with a stable, digital dollar designed for cross-border payments, liquidity management, and on-chain settlement. The stablecoin, which launched in late 2024, has grown to a supply of over $700 million on the Ethereum and XRP blockchains, according to RWA.xyz data. The stablecoin is issued by a New York trust company regulated by the state’s Department of Financial Services [1].

The expansion of RLUSD into Africa comes at a time when stablecoins are increasingly being viewed as a more efficient and cost-effective alternative to traditional payment systems. In regions with limited access to reliable currencies and banking infrastructure, stablecoins are becoming a popular tool for savings, remittances, and cross-border transactions. In particular, the use of stablecoins like USDT has already gained traction in parts of Africa, according to a report by Castle Island and Brevan Howard [1]. RLUSD’s entry into the market is intended to provide a regulated, institutional-grade option tailored to corporate and institutional users who seek a more secure and compliant digital asset [2].

In addition to facilitating financial transactions, RLUSD is being tested in innovative real-world applications, including climate risk insurance programs in Kenya. Mercy Corps Ventures, a nonprofit venture fund, is piloting RLUSD to provide automated payouts for drought and rainfall insurance. These initiatives use satellite data to trigger disbursements when extreme weather conditions are detected, demonstrating the potential of stablecoins to support financial resilience in vulnerable communities [1].

The partnership between Ripple and African fintech firms highlights the growing demand for high-quality digital assets that can serve enterprise-grade use cases. Chipper Cash CEO Ham Serunjogi noted that RLUSD is “uniquely positioned to drive institutional use of blockchain technology across Africa and broader global markets.” Meanwhile, VALR CEO Farzam Ehsani emphasized the demand for regulated digital assets, and Yellow Card’s Chris Maurice pointed to the need for stablecoins that can support cross-border payments and treasury management [2].

Ripple’s strategic move into Africa is part of a broader effort to position RLUSD as a preferred stablecoin for regulated institutions. The stablecoin is now listed on major exchanges such as Bitstamp, Kraken, and Gemini, further enhancing its accessibility for enterprises seeking compliance-grade infrastructure for digital assets. As more companies adopt blockchain-based solutions for financial operations, RLUSD’s expansion into Africa reflects a broader trend of institutional adoption of digital assets in emerging markets [1].

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[1] Ripple Brings $700M RLUSD Stablecoin to Africa, Trials Extreme Weather Insurances (https://www.coindesk.com/business/2025/09/04/ripple-brings-usd700m-rlusd-stablecoin-to-africa-trials-extreme-weather-insurances)

[2] Ripple Expands Dollar-Backed Stablecoin RLUSD to Africa (https://finance.yahoo.com/news/ripple-expands-dollar-backed-stablecoin-063813235.html)