Ripple's USD-pegged stablecoin, RLUSD, has experienced a dramatic 134% surge in trading volume over the last 24 hours, adding approximately $49.55 million in activity according to CoinMarketCap. This surge has propelled RLUSD's market capitalization to $1.33 billion, solidifying its position among the top 10 stablecoins in the market.
The growth is attributed to its utility as a safe-haven asset during market volatility and its deepening institutional adoption. In a significant endorsement, Binance Research has recognized RLUSD as a "new heavyweight" in the stablecoin arena, part of a "New Big Six" of stablecoins that have each surpassed a $1 billion market cap. Furthermore, BlackRock, the world's largest asset manager, now accepts RLUSD as collateral, underscoring rising institutional trust.
The volume spike carries direct implications for Ripple's native token, XRP. Transactions conducted using RLUSD incur fees paid in XRP, which are subsequently burned, reducing XRP's circulating supply. Increased RLUSD activity could therefore boost demand for XRP while applying deflationary pressure on its supply, potentially supporting its price.
This development comes as XRP itself faces short-term volatility, trading at $1.97 (down 3.58%) despite a 182.66% increase in its own trading volume to $3.85 billion. Analysts suggest the liquidity and utility provided by RLUSD's growth could help stabilize and support XRP's market position moving forward.
