Here is The Only Reason XRP is Pumping Today After Falling to $1.90

Today, XRP witnessed a major comeback after losing the $2 range during the market-wide dump of the last two days.

Notably, the turnaround emerged as the New York Department of Financial Services (NYDFS) approved Ripple’s RLUSD stablecoin, a product designed to enable cross-border payments.

The regulatory green light, announced by Ripple CEO Brad Garlinghouse, follows months of review, positioning Ripple for the imminent mainnet launch of its dollar-pegged stablecoin.

Ripple’s CEO also revealed plans to announce exchange and partner listings soon, signaling preparations for the stablecoin’s rollout. Additionally, Garlinghouse cautioned XRP community members not to fall for scams amid the ongoing excitement about coming to RLUSD. “When RLUSD launches, Ripple will be the first to share the news,” he said.

XRP Price Reaction

Ripple’s announcement of RLUSD approval spurred notable activity in the market. XRP, the crypto asset closely associated with Ripple, experienced a surge following the news.

After dipping to a low of $1.91 on Tuesday, XRP has rallied to $2.41 today, reflecting a 26.17% comeback.

XRP has retraced slightly as of press time, trading at $2.33 amid selling pressure. XRP’s market capitalization is now closing in on Tether’s $138 billion valuation once again.

RLUSD’s Backing and Competitive Approach

Notably, the RLUSD stablecoin is designed to maintain a 1:1 peg with the U.S. dollar through asset-backed reserves. This structure includes U.S. dollar holdings, short-term U.S. Treasury securities, and cash-equivalent assets, aligning with industry standards for stablecoin issuance.

Ripple is positioning RLUSD to compete in the stablecoin market, where Circle’s USDC and Tether’s USDT currently dominate. The company aims to capture a share of the growing stablecoin ecosystem, particularly in regions with increasing demand for dollar-pegged assets.

Ripple’s partnerships with leading exchanges such as Uphold, Bitstamp, MoonPay, and others underline its strategic efforts to ensure a seamless market entry.

Other Strategic Partnerships & Stablecoin Trends

Ripple has also partnered with several prominent exchanges to support RLUSD’s launch and liquidity. These include Bitso, Independent Reserve, CoinMENA, and Bullish, which are actively collaborating with Ripple for RLUSD’s listing.

Ripple’s leadership has also recognized the broader market dynamics shaping stablecoin adoption. With increasing interest in USD-backed stablecoins, Ripple President Monica Long emphasized the potential for significant demand in regions like Latin America. Furthermore, Ripple is exploring opportunities for Euro (EUR) and Singapore Dollar (SGD) stablecoins.