XRP News Today: Ripple's RLUSD Surges in Retail Adoption, Challenges USDC with $557.7M Market Cap

Ripple’s RLUSD stablecoin, launched in late 2024, is gaining traction among retail users despite its initial positioning as an enterprise-focused asset. The stablecoin, which maintains a 1:1 peg to the U.S. dollar, has seen growing adoption through self-custodial wallets like Xaman and integrations with platforms such as Transak. Xaman’s chief operating officer, Robert Kiuru, noted that while RLUSD was marketed for institutional use, its utility for retail users is becoming evident. This shift challenges Ripple’s original narrative, as the stablecoin now competes with rivals like Circle’s USDC across both institutional and retail segments [1].

The stablecoin’s dual appeal lies in its technical advantages—low cost, speed, and finality—coupled with expanding accessibility. Over 91% of RLUSD’s 34,160 holders use the XRP Ledger (XRPL), despite 88% of its $557.7 million market cap being issued on the EVM sidechain. This divergence highlights a gap between issuance infrastructure and user preferences, with retail users favoring XRPL for its efficiency. Kiuru emphasized that the growing retail adoption does not signal a pivot away from enterprise focus but rather an organic expansion of utility [2].

Ripple’s strategic emphasis on RLUSD aligns with broader market dynamics. As regulatory frameworks evolve—such as the U.S. House’s GENIUS Act and approvals from New York DFS and Dubai’s DFSA—the stablecoin is positioning itself as a compliant alternative to dominant stablecoins like USDC. Analysts note that RLUSD’s enterprise-grade infrastructure supports both institutional and retail use, enabling it to serve diverse needs without compromising its core strengths [3].

The stablecoin’s growth also appears to benefit Ripple’s native XRP token. Increased RLUSD activity enhances XRP’s utility in facilitating transactions, potentially driving demand for the asset. This symbiotic relationship could attract investors seeking exposure to both stablecoin demand and XRP’s price performance. Further adoption is anticipated as RLUSD integrates into DeFi platforms, offering liquidity for decentralized applications [4].

However, challenges remain. Critics argue that RLUSD’s design—optimized for institutional use cases like remittances and treasury management—may not fully align with retail preferences. Addressing concerns around redemption processes, transparency, and regulatory scrutiny will be critical for sustained growth. Ripple’s recent SEC settlement, which resolved a multi-year legal dispute over XRP, has allowed the company to prioritize RLUSD development, but maintaining regulatory compliance in evolving markets remains a priority [5].

The competitive landscape for stablecoins is intensifying, with USDC and others vying for dominance. Ripple’s dual strategy—targeting both institutional and retail users—positions RLUSD to capture a larger share of the market, provided it continues to innovate. The stablecoin’s success will hinge on its ability to balance enterprise efficiency with retail-friendly features, ensuring it meets the diverse needs of a rapidly expanding user base [6].

Sources:

[1] Cointelegraph, Ripple USD Sees Retail Rise Despite Enterprise Focus, https://cointelegraph.com/news/xrp-issuer-ripple-rlusd-stablecoin-retail-adoption-enterprise-focus

[2] Cointelegraph, Ripple USD Sees Retail Rise Despite Enterprise Focus, https://cointelegraph.com/news/xrp-issuer-ripple-rlusd-stablecoin-retail-adoption-enterprise-focus

[3] DeFiance Media, Ripple’s RLUSD Stablecoin Approved by Dubai Regulator for Enterprise Use, https://defiance.media/category/defiance-daily/

[4] CoinDCX, Top 10 Cryptos To Invest In July 2025 [By Market Cap], https://coindcx.com/blog/crypto-highlights/top-10-cryptos-2025/

[5] U.Today, Ripple Exec Breaks Down Stablecoin Bill’s Impact on Crypto Market, https://u.today/ripple-exec-breaks-down-stablecoin-bills-impact-on-crypto-market

[6] U.Today, Ripple Exec Breaks Down Stablecoin Bill’s Impact on Crypto Market, https://u.today/ripple-exec-breaks-down-stablecoin-bills-impact-on-crypto-market