Ripple’s RLUSD Hits Record High as UAE Opens the Door to Institutional Use

Ripple's USD-backed stablecoin, RLUSD, reached a record market capitalization of $1.261 billion in November, coinciding with a major regulatory milestone in the UAE. Abu Dhabi's Financial Services Regulatory Authority (FSRA) officially recognized RLUSD as an Accepted Fiat-Referenced Token, enabling its regulated use by licensed institutions within the Abu Dhabi Global Market (ADGM) for activities like collateral, lending, and prime brokerage. This approval reinforces Ripple's commitment to regulatory compliance for institutional finance, according to Jack McDonald, SVP of Stablecoins at Ripple. Despite this regulatory win and growth, most RLUSD issuance remains on Ethereum, challenging the narrative that the XRP Ledger (XRPL) is the core infrastructure, though some analysts note recent XRPL minting increases. Analysts suggest that with accelerating institutional adoption and new Middle Eastern approvals, RLUSD could potentially enter the top five stablecoins by market capitalization, currently ranking 13th.

(Source：BeInCrypto)