Ripple's Regulated Stablecoin Seeks to Redefine Finance in Africa

Ripple has extended the reach of its U.S. dollar-backed stablecoin, Ripple USD (RLUSD), to Africa through partnerships with fintech platforms Chipper Cash, VALR, and Yellow Card, offering institutional users access to a regulated digital dollar. Launched in late 2024, RLUSD, issued by a New York trust company regulated by the Department of Financial Services, has surpassed $700 million in supply on both Ethereum and the XRP Ledger. The expansion aims to meet growing demand for cross-border payment infrastructure in regions with limited access to traditional banking systems. The stablecoin is being introduced to serve enterprise-grade use cases, including remittances, treasury management, and tokenized asset trading. Ripple’s CEO of stablecoins, Jack McDonald, emphasized that RLUSD has quickly gained traction in financial applications, including cross-border payments and trading collateral in both crypto and traditional markets.

The move into Africa positions RLUSD as a regulated alternative to other stablecoins like USDT, which are already in use for savings and international transfers in parts of the continent. Chipper Cash, VALR, and Yellow Card have highlighted the growing demand for digital assets that offer reliability and compliance. Chipper Cash’s CEO, Ham Serunjogi, noted that RLUSD could drive institutional adoption of blockchain technology in Africa and global markets. VALR’s Farzam Ehsani added that the platform is committed to providing access to compliant, high-quality digital assets. Yellow Card’s Chris Maurice emphasized the need for reliable stablecoins in cross-border payments and treasury operations, calling RLUSD a natural fit for institutional needs in Africa.

In addition to traditional financial applications, RLUSD is being tested in innovative real-world use cases, particularly in Kenya. Mercy Corps Ventures is piloting the stablecoin in climate risk insurance programs. In one initiative, RLUSD is held in escrow and automatically released when satellite data detects drought conditions. Another pilot underpins rainfall insurance, with payouts triggered by extreme weather events. These programs highlight how blockchain technology can be leveraged for climate resilience and financial inclusion in emerging markets. The use of smart contracts ensures that payouts are automated and transparent, reducing administrative delays and costs typically associated with insurance claims.

Ripple’s strategic expansion into Africa aligns with broader global efforts to position RLUSD as a preferred stablecoin for regulated institutions. The stablecoin is now available on major exchanges such as Bitstamp, Kraken, Gemini, and others, increasing its accessibility for enterprises seeking compliance-grade digital asset infrastructure. Ripple’s recent acquisition of the stablecoin payments firm Rail for $200 million further underscores its commitment to expanding the reach and utility of RLUSD. The company continues to collaborate with top-tier partners globally, ensuring that RLUSD remains a viable option for institutions seeking a reliable digital dollar.

The introduction of RLUSD to Africa marks a significant step in the evolution of stablecoin usage in emerging markets. With a strong focus on compliance, liquidity, and real-world applications, Ripple aims to address the gaps in traditional financial infrastructure and offer scalable solutions for cross-border payments, treasury management, and climate risk mitigation. The partnership with local fintech platforms and the pilot programs with Mercy Corps Ventures demonstrate the potential for stablecoins to transform financial services in regions where banking infrastructure remains limited.

Source: [1] Ripple Expands Dollar-Backed Stablecoin RLUSD to Africa (https://finance.yahoo.com/news/ripple-expands-dollar-backed-stablecoin-063813235.html) [2] Ripple Brings $700M RLUSD Stablecoin to Africa, Trials (https://finance.yahoo.com/news/ripple-brings-700m-rlusd-stablecoin-050000239.html) [3] Ripple Brings $700M RLUSD Stablecoin to Africa, Trials (https://www.coindesk.com/business/2025/09/04/ripple-brings-usd700m-rlusd-stablecoin-to-africa-trials-extreme-weather-insurances) [4] Ripple's USD-backed stablecoin RLUSD arrives in Africa (https://ripple.com/ripple-press/ripples-usd-backed-stablecoin-rlusd-arrives-in-Africa/)