Latest news with #RLUSD
CNBC
6 hours ago
- Business
- CNBC
Trump's USD1 stablecoin is off to a rocky start, data shows
President Donald Trump's new dollar-pegged stablecoin is off to a sluggish start, with muted inflows and little organic demand beyond a $2 billion pledge from an Emirati state fund, new data shows. The USD1 token — launched by Trump's decentralized finance firm, World Liberty Financial — has so far failed to break out of a narrow speculative niche, according to Kaiko analyst Adam Morgan McCarthy. "Trump is trying to launch this stablecoin in a massive, growing market that's a quarter of a billion dollars in size already, and his token's only really been successful so far on a niche market of a niche market," McCarthy said. "It hasn't managed to make the leap from decentralized staging platforms like PancakeSwap into centralized venues that serve the mass market." The U.S. dollar-backed USD1 saw a burst of activity on PancakeSwap, a decentralized exchange built on Binance's smart chain, with average daily on-chain volumes topping $14 million following its listing on Binance May 22, according to new research from Kaiko. Volume on Binance itself has lagged at $8 million. The coin's limited reach is compounded by a lack of real users. Kaiko's data confirms that more than half of USD1's liquidity on PancakeSwap comes from just three wallets — a level of concentration that raises questions about where actual demand is coming from. "These were the market making wallets, so they're probably tied to USD1 and the World Liberty Financial team, so not actually an organic volume," added McCarthy. Donald Trump Jr. told CNBC's "Squawk Box" Tuesday that USD1 is a strategic asset, not just for the family, but for U.S. monetary policy. "I think the stablecoins are actually going to be the savior of dollar hegemony in the world, not a detractor from it," he said, pointing to companies like Tether, which rank among the world's largest holders of U.S. Treasurys. But unlike stablecoin giants like Tether and Circle, USD1 has yet to demonstrate broad-based adoption. Ripple's new RLUSD token, for example, has averaged around $50 million in daily centralized exchange volume — far outpacing USD1, which remains thinly traded. According to Kaiko analysts, one major reason that USD1 lags rivals is the absence of institutional partners or promotional incentives that typically generate early traction in the stablecoin market. Beyond its stablecoin, World Liberty separately launched its own native token called WLFI, which also had a tepid debut but ultimately raised at least $550 million through token sales. World Liberty funnels 75% of profits to family-related entities. The $TRUMP coin's failure to generate meaningful traction on Binance is particularly notable, given the family's ties to the Abu Dhabi–based MGX fund, which used USD1 for a $2 billion investment in March. Kaiko's McCarthy told CNBC that this kind of deal would typically boost visibility and volume — especially if paired with incentives like trading fee discounts or promotional listings. "But with USD1, nothing's happened with that," McCarthy said. "It hasn't caused any sort of velocity of the asset on-chain." The Trump family's crypto ventures continue to draw scrutiny, with the $TRUMP meme token recently holding a contest for top holders to get a "special VIP tour" and have dinner with the president. Sen. Elizabeth Warren, D-Mass., described the winner's dinner as "an orgy of corruption" and accused the president of using the presidency "to make himself richer through crypto." More than $5.2 billion in realized gains in the $TRUMP coin flowed to the top wallets, according to Inca Digital, while over 590,000 collectively lost $3.9 billion. The gap between winners and losers has raised concerns about wealth concentration and retail trader exploitation — dynamics that critics say mirror the very financial system that crypto is trying to disrupt.
Yahoo
6 hours ago
- Business
- Yahoo
XRP Ledger Payments Count Falls to Lowest Since October as XRP Fails to Keep With Bitcoin
Activity on the XRP Ledger, a decentralized public blockchain designed for quick, cost-effective real-time transfer of XRP, fiat currencies and other digital assets, has slowed considerably since the first quarter. The number of payment transactions, representing the transfer of value from one account to another, dropped to 320,747 at press time, the lowest since October and significantly down from the average of over 1 million observed through March, April, and early May, according to data source XRPScan. The number of active addresses also fell under 10,000, also the lowest since October. Meanwhile, the number of XRP burned as fees dropped to a multi-month low of 1,500 XRP, coinciding with a slowdown in the creation of new accounts. Account creators need to deposit 1 XRP, which can be reclaimed following the deletion of the account. The slowdown follows an impressive first quarter during which payment transactions surged by an impressive 36% on a quarter-on-quarter basis, according to data tracked by Messari. Meanwhile, active addresses registered a 142% growth. The Messari report was optimistic about XRP Ledger's prospects, citing an increase in institutional adoption through strategic partnerships and acquisitions. In April, Ripple, which leverages the XRP Ledger to provide payment solutions, Hidden Road, making it the first crypto company to own and operate a global, multi-asset prime broker. Early today, Ripple's enterprise-grade RLUSD stablecoin received the green light from the Dubai Financial Services Authority (DFSA), opening doors for its use in the Dubai International Financial Centre (DIFC). More announcements could hit the wires next week during Ripple's XRP Ledger Apex 2025 event, which will take place in Singapore from June 10 to 12. Bitcoin, the leading cryptocurrency by market value, recently rose to new lifetime highs above $110,000, marking a surge of over 40% from its early April lows near $75,000. The stellar recovery also lifted the broader market higher, with XRP jumping from $1.60 to $2.60, a 62% increase, according to CoinDesk data. However, the rally in the payments-focused token has stalled since then, falling well short of its peak of around $3.40 registered in January when BTC set its then-lifetime peak of $109K. The divergence indicates that XRP is not benefitting from bitcoin's new highs the same way it did earlier this year. It could be a sign of waning demand for XRP, suggesting caution, as a potential downturn in Bitcoin could weigh heavily on XRP's price. Sign in to access your portfolio
Yahoo
6 hours ago
- Business
- Yahoo
XRP Surges 3% as Global Tensions Boost Cross-Border Payment Utility
XRP climbed 3% over the past 24 hours, defying broader market volatility as geopolitical tensions continue to rattle investors. The token rose from $2.157 to $2.222, driven by strong technical momentum and surging on-chain activity that saw over 500 million tokens transacted in a single day. News Background Rising trade disputes between major economies have triggered market-wide uncertainty, with traditional cross-border payment systems facing increased scrutiny. Amid this backdrop, XRP's ability to facilitate fast, low-cost international transactions has positioned it as a potential alternative settlement solution, attracting fresh interest from both retail and institutional traders. Ripple's RLUSD stablecoin has received regulatory approval from Dubai's financial authority, allowing its use within the Dubai International Financial Centre. Price-ActionAs per CoinDesk's AI-driven technical analysis, XRP's price action has formed a clear uptrend, with higher lows and higher highs emerging throughout the session. The token broke through key resistance at $2.190 on significant volume spikes exceeding 55 million during the 22:00 hour, signaling renewed buying interest. Support has formed around the $2.192-$2.195 range, while a recent pullback to $2.194 appears to be a healthy consolidation after testing the $2.225 level. In the final hour of trading, XRP surged 1.58% from $2.194 to $2.199, accompanied by a notable volume spike at 08:01 with over 5 million tokens changing hands — nearly 10 times the hourly average. The technical picture remains bullish, with consecutive green candles and increasing volume suggesting momentum could carry XRP higher toward the $2.225 resistance level. Technical Analysis Recap XRP climbed from $2.157 to $2.222 over the past 24 hours, a 3% gain. Price action established a clear uptrend, breaking through key resistance at $2.190 on volume spikes over 55 million. Strong support formed at $2.192-$2.195, with healthy consolidation evident after testing $2.225. Notable price surge in the last hour from $2.194 to $2.199, with volume spiking to over 5 million at 08:01. Consecutive green candles and increasing volume suggest potential for further upward movement. As XRP navigates an uncertain macroeconomic landscape, its utility as a cross-border payment asset and increasing transaction volume underscore its role in the evolving global financial ecosystem.
Yahoo
8 hours ago
- Business
- Yahoo
Ripple's latest regulatory nod sends XRP on a rally
Ripple's latest regulatory nod sends XRP on a rally originally appeared on TheStreet. The Dubai Financial Services Authority (DFSA) has recognized the blockchain and crypto payments firm Ripple's RLUSD stablecoin as a crypto token for use within the Dubai International Financial Centre (DIFC), the firm announced on June 3. The DFSA is the financial regulatory body that oversees DIFC, Dubai's special economic zone. Introduced in December 2024, Ripple's RLUSD is a stablecoin, which is a type of cryptocurrency that, unlike usually volatile cryptocurrencies such as Bitcoin, maintains a stable value . A stablecoin is usually pegged to a fiat currency like the U.S. dollar or a commodity like gold. RLUSD, for instance, is pegged to the USD, which means that for every RLUSD token, there is a corresponding amount of U.S. dollars held in reserves. Ripple says its stablecoin, built for faster and cost-efficient cross-border payments, is primarily geared towards global institutions instead of retail customers. Ripple's Senior Vice President of Stablecoins, Jack McDonald, said: The DFSA's approval of RLUSD is proof of our commitment to building a stablecoin that meets the highest standards of trust, transparency and utility. The Dubai authority's nod allows Ripple to integrate its stablecoin into its DFSA-licensed payments solution. Other DFSA-licensed enterprises in Dubai's financial hub — nearly 7,000 firms at the end of 2024 — can also incorporate RLUSD into their crypto services. Notably, Ripple had already secured DFSA's approval on 13 March to offer regulated crypto payment services in the DIFC. The latest announcement sent XRP rising modestly from $2.18 to $2.22 at press time, as per Kraken's price feed. With a market cap of $130 billion, XRP is the fourth-largest cryptocurrency. Ripple's latest regulatory nod sends XRP on a rally first appeared on TheStreet on Jun 3, 2025 This story was originally reported by TheStreet on Jun 3, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
14 hours ago
- Business
- Yahoo
Ripple's Stablecoin, RLUSD, Gets Stamp of Approval in Dubai
Ripple's U.S dollar pegged RLUSD has received regulatory approval from Dubai's financial watchdog, clearing the way for its use within the Dubai International Financial Centre (DIFC), the company said Tuesday. The Dubai Financial Services Authority's decision means RLUSD can now be integrated into Ripple's licensed payments platform and potentially leveraged by other DFSA-registered entities. That development could help expand Ripple's footprint in the region's fast-growing digital asset ecosystem, where regulatory clarity has been a key factor driving adoption. 'This approval reinforces RLUSD's position as a stablecoin built with regulatory compliance and transparency at its core,' Ripple said in a statement. RLUSD is 1:1 backed by U.S. dollars held in high-quality liquid assets and subject to third-party audits, a move aimed at addressing institutional concerns around stablecoin reserves. However, questions remain about real-world adoption. While RLUSD's approval theoretically allows DFSA-regulated firms to use the token, it's unclear how many will actually integrate the stablecoin into their systems. The approval comes as Ripple continues to build its presence in the UAE. Recent partnerships include agreements with local banks and payments firms like Zand Bank and Mamo, and the company has also teamed up with Ctrl Alt on a real estate tokenization project for Dubai's Land Department. Institutional stablecoin adoption has grown rapidly in the UAE, with Ripple citing a 55% year-over-year increase in transactions.
