Angelica Saldana, a well-known crypto enthusiast, recently shared her perspective on the impact of RLUSD, Ripple’s newly announced stablecoin , on the XRP Ledger (XRPL). In a post on X, she explained how RLUSD contributes to the XRP ecosystem through transaction fees, liquidity improvements, and its function in cross-border payments. Saldana’s comments were accompanied by a video featuring Ripple’s Chief Technology Officer, David Schwartz, who provided further insights into how RLUSD benefits the XRPL. This is why RLUSD helps XRP RLUSD transactions on the XRP Ledger require XRP to pay gas fees, which are burned. This reduces XRP supply. More RLUSD usage means more XRP burned. RLUSD increases liquidity for cross-border payments and DeFi on the XRPL. XRP is used as a bridge… https://t.co/cLQQPZWvQD pic.twitter.com/dsVx0ewLt8 — Angelica Saldaña S.T.B. (@AngelofYHVH) April 2, 2025 RLUSD Transactions Burn XRP Saldana highlighted that RLUSD transactions on the XRP Ledger require XRP for gas fees, which are burned in the process. This mechanism reduces the total supply of XRP over time. Since burning XRP decreases the circulating supply, it introduces a deflationary aspect that could affect the asset’s long-term dynamics. She emphasized that increased usage of RLUSD would lead to higher XRP burn rates, reinforcing the idea that the introduction of a stablecoin on XRPL has direct implications for XRP itself. By linking RLUSD’s activity to XRP supply reduction , Saldana suggested that the stablecoin’s adoption could influence XRP’s broader economic model. Liquidity and Cross-Border Payments Saldana also points out that RLUSD enhances liquidity for cross-border payments and decentralized finance (DeFi) applications on XRPL. By providing a stable digital asset within the ecosystem, RLUSD facilitates smoother transactions, particularly for businesses and financial institutions looking for price stability. We are on twitter, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) July 15, 2023 According to her, this added liquidity strengthens the XRPL’s role in global payments by offering a reliable stablecoin alternative that complements XRP’s function as a bridge currency. She noted that when users convert RLUSD into other assets, XRP often serves as the intermediary, increasing demand for the cryptocurrency. David Schwartz on RLUSD’s Impact In the attached video, David Schwartz elaborated on the benefits RLUSD brings to the XRP Ledger. He described the stablecoin as a tool for expanding use cases and opportunities for developers. While reaffirming XRP’s position as the native currency of the ledger, he explained that XRPL was designed to support multiple asset types, including stablecoins and fiat-backed tokens. Schwartz outlined how RLUSD enhances the XRPL decentralized exchange (DEX) by increasing trading volume. He explained that the DEX’s auto-bridging feature relies on XRP to facilitate trades between different assets, making XRP a key component in improving trading efficiency. He states that the addition of RLUSD to the ecosystem strengthens this mechanism by introducing another widely accepted asset. He also highlighted that RLUSD and XRP serve different purposes within the ecosystem. While XRP remains a bridge currency for Ripple’s payment solutions, RLUSD supports the expansion of new blockchain-based financial applications. Schwartz mentioned that RLUSD’s introduction aligns with the growth of real-world asset tokenization, foreign exchange markets, and trade finance, areas expected to see increased adoption. The Future of RLUSD and XRP Saldana’s post emphasized the interdependence of RLUSD and XRP, describing the stablecoin as a factor that can increase both the usability and demand for XRP. Schwartz echoed this sentiment, noting that RLUSD’s presence on the XRP Ledger contributes to the broader adoption of on-chain applications. RLUSD’s role within the XRPL ecosystem may evolve as the stablecoin market expands. Its impact on liquidity, transaction efficiency, and asset conversion mechanisms highlights the stablecoin’s significance beyond its immediate function. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on X , Facebook , Telegram , and Google News The post Ripple CTO Explains How RLUSD Helps XRP appeared first on Times Tabloid .
