Ripple’s RLUSD Stablecoin Now Active on Aave V3 Ethereum Market
Ripple’s RLUSD stablecoin is now available for lending and borrowing on the Aave V3 Ethereum Core market, Aave announced on X this Monday.
The decentralized lending platform has set a 50 million RLUSD supply limit and a 5 million RLUSD borrowing cap for the new stablecoin product.
RLUSD is a stablecoin pegged 1:1 to the U.S. dollar, operating across both the XRP Ledger and Ethereum blockchains. It is fully backed by U.S. dollar deposits, short-term U.S. Treasuries, and cash equivalents, ensuring that each token matches its fiat value.
A key feature of RLUSD is its enhanced security, designed to meet the needs of institutional users. A recent update to the XRP Ledger introduced a “clawback” feature, allowing the issuer to retrieve RLUSD tokens from users’ wallets in specific situations.
Industry observers believe RLUSD could disrupt the dominance of other major stablecoins, including Tether’s USDT and Circle’s USDC. It is also seen as a factor in driving greater adoption of XRP by investors.
