RLUSD Achieves Major Milestone
Ripple’s stablecoin RLUSD has reached a significant benchmark, with weekly transfer volume on the Ethereum network now averaging around $1 billion. This represents a substantial increase from the $66 million volume recorded at the beginning of the year. The growth trajectory shows a clear upward trend through the first half of the year, followed by what appears to be a shift to a higher baseline in the second half.
Token Terminal, the on-chain analytics firm that reported these figures, noted that recent weeks have shown volume clustering around this new $1 billion level. This development comes approximately one year after Ripple launched RLUSD in late 2024, marking an important achievement for the relatively new stablecoin.
Holder Growth and Distribution
The number of RLUSD holders has seen remarkable growth, increasing eightfold since the start of the year to reach approximately 6,000 addresses. Token Terminal highlighted that the increase in holders has kept pace with the growth in supply, suggesting that the token distribution isn’t concentrated among just a few addresses but is instead becoming more widely distributed.
This pattern of distribution is generally seen as a positive indicator for stablecoin adoption and network health. When supply growth aligns with holder growth, it typically means the token is being used by a broader range of participants rather than being hoarded by a small group.
Market Context and Position
Earlier this month, RLUSD achieved another milestone by surpassing $1 billion in market capitalization. While this represents significant progress for the stablecoin, it’s worth noting that RLUSD still operates in a market dominated by much larger players. Tether (USDT) maintains a market cap of approximately $184.5 billion, while Circle’s USDC stands at around $76 billion.
The growth in RLUSD comes at a time when Ripple has been achieving several positive developments, including recent legal victories in its ongoing case with the SEC. However, I should mention that stablecoin adoption can be influenced by many factors beyond just legal clarity, including liquidity, exchange support, and user trust.
Looking Forward
The sustained weekly volume at the $1 billion level suggests RLUSD is finding real utility in the market. Stablecoins typically need to demonstrate consistent usage to maintain their peg and build credibility. The fact that RLUSD has maintained its supply less than a year after launch indicates it’s providing stable usage, which is crucial for any stablecoin’s long-term viability.
Still, the stablecoin market remains highly competitive, and RLUSD’s position relative to established giants like USDT and USDC shows there’s considerable room for growth. The coming months will likely reveal whether this current volume level represents a new normal or if further growth is possible.
It’s interesting to observe how quickly RLUSD has gained traction, though I think we should be cautious about drawing too many conclusions from short-term data. The real test will be whether these volume levels can be sustained over the longer term.
