Ripple ‘s launch of a new stablecoin was met with surprise by XRP’s fan base. A $2 Billion fine from the SEC has been met with criticism from the community, and this sudden launch move could spell trouble for financial regulations. Despite stiff competition in the stablecoin market, Ripple’s CEO Brad Garlinghouse remains optimistic and foresees changes in the market’s landscape depending on its size.
As Ripple faces these issues, many community members are looking for answers to why such a decision was made. Is XRP coming to an end?
Impact of Ripple’s Stablecoin Launch on XRP
As we reported as Koinfinans.com, Ripple has a USD-linked currency on Ethereum and XRP Ledger. stablecoin The launch plan caused the price of XRP to rise by 10% in just one hour. However, the launch of Ripple’s stablecoin has sparked a global debate about its potential impact on both Ripple and its native token, XRP. Ripple’s CTO David Schwartz believes that stablecoin XRP Ledger can breathe new life into the decentralized finance (DeFi) ecosystem. Although this ecosystem has a decentralized exchange (DEX), it has been less used compared to other chains so far.
How the stablecoin will affect XRP is an important area of interest. Despite a court decision confirming XRP’s non-security status, its price has remained stagnant, due in part to ongoing legal uncertainties surrounding Ripple. However, the launch of a stablecoin could change this narrative by increasing the utility and liquidity of XRP. He also noted that this potential increase in XRP’s profile could increase investor confidence and possibly push its price up.
Currently, XRP is trading at $0.59 and is up a modest 3% in the last 24 hours. Despite this rise, its weekly chart shows a slight decline of over 3% over the last seven days. As Ripple’s stablecoin plans are revealed, market participants will be closely monitoring XRP’s performance and this new cryptocurrency The unit will estimate how its product may be affected by its launch.
