Loading article…
XRP borrowers can now access Ripple’s $1‑backed RLUSD on Ethereum, boosting utility while XRP trades near $1.15 – see the details.
XRP’s price held around $1.15 as Ripple announced that holders can now borrow its dollar‑stablecoin RLUSD on Ethereum, letting users access $1‑stable value without liquidating XRP positions【1】. The move deepens RLUSD’s on‑chain activity and could increase demand for XRP‑based transaction fees.
| At a glance | |
|---|---|
| XRP price | $1.15 |
| 24‑h change | flat (≈0 % move) |
| Catalyst | RLUSD borrowing on Ethereum launched |
| RLUSD market cap | $1.6 bn (up from $132 m a year ago) |
Ripple’s RLUSD, launched in December 2024, is a dollar‑backed stablecoin fully reserved in cash and short‑term U.S. Treasury bills, with BNY Mellon holding the reserves and Deloitte performing monthly audits【1】. Until now, most RLUSD activity lived on Ethereum, where transactions incur no XRP fees. The new borrowing product lets XRP holders lock their XRP as collateral on Ethereum and receive RLUSD, effectively creating a bridge between XRP’s native ledger and the broader DeFi ecosystem. This expands RLUSD’s utility beyond Ripple’s own ledger, where every RLUSD transfer still requires a tiny XRP fee that is burned on each transaction【1】.
RLUSD’s market cap has surged from $132 million a year ago to roughly $1.6 billion today, driven by large institutional deals and recent exchange listings on Gate, Binance and OKX【1】【2】. While RLUSD’s supply is still 82 % on Ethereum, activity on the XRP Ledger has jumped 40‑fold in the past six months, with more than half of RLUSD now residing on Ripple’s ledger versus 17 % in April【1】. The borrowing option could further lift XRP‑based fee demand, although the total XRP burned since 2012 remains modest—about 14 million of a 100‑billion supply—so price impact is still limited【1】.
The stablecoin market totals about $320 billion, dominated by Tether (USDT) at $188 billion and Circle’s USDC at $78 billion. RLUSD’s $1.6 billion represents roughly 0.5 % of the market, positioning it as a niche, regulated alternative for banks and institutions rather than a direct challenger to the giants【2】. Its rapid exchange adoption and regulatory backing may cement its role as the preferred dollar‑stablecoin for cross‑border settlements, indirectly supporting XRP’s network activity.
The borrowing launch ties XRP’s bridge function more tightly to RLUSD’s settlement role, turning a potential competitor into a complementary demand driver. Whether this translates into higher XRP prices will depend on the scale of on‑chain activity and broader adoption of RLUSD in institutional payment corridors.
Coverage is mostly measured — 166 of 177 reports stay neutral.
Every Monday — the token unlocks, Fed dates & catalysts set to move crypto and markets this week. So you’re never blindsided.
Free · 3-min read · one-click unsubscribe
AI-assisted synthesis by the TrendWatcher Editorial Desk · sourced from 2 outlets · Aug 5, 2026 · How we report
Ripple Prime is the rebranded Hidden Road prime brokerage that Ripple bought for $1.25 billion, providing institutional clearing and collateral services and holding a BBB rating that allows pension funds and insurers to engage with it.
FXRP lets XRP holders convert XRP to a token on Ethereum, deposit it as collateral in the Morpho lending protocol, and borrow Ripple's RLUSD stablecoin without selling their XRP.
The ISDA margin survey reports about $2 trillion in derivatives collateral, which is far below the $100 trillion market cap needed for a $1,000 XRP price target.