Ripple’s RLUSD Will Bring The World on XRP Rails: Expert

RLUSD Positioned as a Gateway to the XRP Ledger

Phil Kwok, co-founder of the Web3 learning platform EasyA, has offered a detailed assessment of Ripple’s stablecoin strategy, suggesting that Ripple USD (RLUSD) may become a major driver of global involvement in the XRP Ledger ecosystem. His remarks reflect a growing belief among industry observers that RLUSD will not compete with XRP but instead reinforce the asset’s relevance in institutional and retail environments.

Kwok’s recent commentary addressed concerns raised by some community members who speculate that RLUSD could reduce XRP’s utility. He argued the opposite, stating that RLUSD is structured to direct users, institutions, and capital toward the XRP Ledger (XRPL) rather than divert attention away from it. In his view, the stablecoin’s introduction strengthens XRP’s long-term position because it expands the XRPL’s functionality and increases the number of participants interacting with the network.

This assessment was prompted by questions about the stablecoin’s impact on XRP valuation. Market participant Dave Weisberger, known for his support of Bitcoin, inquired about how RLUSD would influence market dynamics for XRP. Kwok responded by emphasizing that RLUSD’s most important role is the facilitation of highly reliable collateral in on-chain environments. By enabling this transition, RLUSD broadens the utility of the XRPL, thereby indirectly benefiting XRP through increased network activity.

Kwok added that RLUSD should not be viewed as a final objective for Ripple. Instead, he characterized it as an asset designed to support broader adoption of XRPL-based financial infrastructure. According to him, once more institutions bring capital onto XRPL using RLUSD, XRP will naturally see increased relevance as a settlement asset within the same ecosystem.

Expanding Use Cases and Institutional Integration

RLUSD has gained momentum across several markets since its release. One of the most significant steps occurred in September, when Ripple partnered with Securitize to allow institutional investors to exchange shares of BlackRock’s BUIDL fund and VanEck’s VBILL fund for RLUSD. This development demonstrated RLUSD’s capacity to serve as a dependable medium for transferring tokenized financial assets into the XRPL ecosystem.

In the same period, Tembo, an electric vehicle division of VivoPower, incorporated RLUSD as a payment option for its customers. The move illustrated how the stablecoin is entering commercial environments beyond cryptocurrency markets.

Ripple has also prioritized broader accessibility. Partnerships with Yellow Card, VALR, and Chipper Cash have extended RLUSD’s reach across several African markets, creating new channels for users in emerging economic regions. These integrations highlight RLUSD’s growing role as a practical on-ramp to blockchain-based financial services, which ultimately expands the pool of global users interacting with XRP infrastructure.

Some community members questioned whether RLUSD can meaningfully influence global adoption given its current supply of roughly $1 billion. Comparisons have been made with USDT and USDC, which hold valuations above $180 billion and $74 billion, respectively. Kwok addressed this concern by noting that RLUSD is still in its first year of existence. He emphasized that larger stablecoins also began with limited circulation and expanded as demand increased.

RLUSD launched in December 2024 on both Ethereum and the XRPL. Within less than a year, it has reached a market capitalization of approximately $1.02 billion, which Kwok cites as evidence of strong early momentum and room for long-term scaling.