Ripple advances tokenisation with Ripple USD tokens

Ripple (CRYPTO:XRP), with a market cap of $149 billion, is making significant strides in tokenisation and decentralised finance (DeFi) to expand its use cases.

Ripple Labs is preparing to launch its stablecoin, Ripple USD (CRYPTO:RLUSD), signaling a new direction for the XRP Ledger (XRPL).

Ripple’s efforts with RLUSD coincide with optimism that regulatory conditions could improve under the Trump administration, possibly with Paul Atkins leading the U.S. Security and Exchange Commission (SEC).

David Schwartz, Ripple’s CTO, revealed that RLUSD testing began with 91.6 million tokens issued on Ethereum and XRPL chains between October 15 and November 3, 2024.

As of December 2, RLUSD supplies reached 10.44 million on XRPL and 41.761 million on Ethereum, totaling 52.201 million tokens, according to Cryptoquant data.

The gradual rollout reflects Ripple’s careful approach to entering the stablecoin market.

In the DeFi sector, Sologenic (CRYPTO:SOLO) leads among over 200 XRPL-issued tokens, boasting a $220 million market cap and enabling tokenisation of assets like stocks and commodities.

Other XRPL tokens include CORE (CRYPTO:CORE), Songbird (CRYPTO:SGB), Casinocoin (CRYPTO:CSC), and EQ, though liquidity remains thin, with many tokens showing little market activity.

XRPL’s DeFi activity is driven by the XRPL Dex and Openeden T-Bills, with a reported $67.77 million in TVL, highlighting the need for broader infrastructure development.

Ripple aims to leverage potential regulatory support under a pro-crypto administration to redefine DeFi’s role in traditional finance.

The company’s strategic focus on stablecoins, tokenisation, and DeFi aims to establish XRPL as a key player in real-world financial applications.

Despite its successes, Ripple faces challenges in improving token liquidity and expanding DeFi use cases, critical for sustained growth.

At the time of reporting, Ripple price was $2.47.