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On the 23rd, it burns 12 million RLUSD tokens, but everything is calculated. Immediately after, the same tokens are minted again
In April 2025, Ripple continued its blitz with its new stablecoin, RLUSD. On April 23, the company burned 12 million RLUSD tokens, only to mint the same amount immediately afterward.
This juggling act was part of Ripple’s strategy to adjust the stablecoin’s supply according to demand. The goal was to place RLUSD among the top five stablecoins by December 2025.
The mission was clear: to shake up the market currently dominated by giants like Tether and USD Coin. And it was happening at an impressive speed. If the timing was right, Ripple’s cryptocurrency could very well change the game.
The company, known for its active management of the LINK tokens, demonstrated the same strategy with RLUSD. Burning and minting tokens on demand, in response to changes in demand, became routine.
On April 23, 12 million RLUSD went up in smoke, but the amount was immediately replenished. A juggling act to ensure the stability of the stablecoin.
This approach aimed to maintain a fair balance between supply and demand, a crucial element in the world of stablecoins.
And the result? A capitalization flirting with 300 million dollars, a nice boost for Ripple. But this was just the beginning.
Platforms like Bitstamp, Kraken, and later Bullish contributed to RLUSD’s success, already available across a wide range of exchanges. Ripple was not afraid to play in the big leagues.
The company's ambition was to integrate RLUSD into the top five stablecoins by December 2025. And while RLUSD’s rapid growth was remarkable, Ripple still faced challenges.
The competition was fierce, with players like Tether (USDT) and USD Coin (USDC) holding strong positions for a long time.
Despite this, Ripple appeared determined to assert its presence with RLUSD. Constant supply adjustments, creation and destruction of tokens allowed responses to market fluctuations. This tight control of supply was a risky but thoughtful bet.
If Ripple managed to maintain this strategy in the long term, its dream of being among the market leaders could very well come true.
Users seemed to be responding to the call, but broader adoption was still needed to compete with the industry giants.
For Ripple, the true test lay in its ability to maintain RLUSD’s stability. Burning and minting tokens may suffice in the short term, but how to manage demand spikes in the long term?
Moreover, although RLUSD’s capitalization was already impressive, it still needed to convince beyond the major platforms.
The competition did not wait. The future of the stablecoin would depend on users’ trust. The goal was to be in the top 5, but the path was fraught with obstacles.
Ripple would need to maintain a steady pace of adoption and testing of its stablecoin, while controlling supply to avoid overheating. The stablecoin market was extremely volatile, and even a minor mistake could slow Ripple’s ambitions. But if the company managed to consistently maintain its strategy, it could catch its rivals off guard and make RLUSD a key player.
May 19 will mark a decisive turning point for Ripple. The Chicago Mercantile Exchange (CME) Group, a global reference for derivatives products, launches futures contracts on XRP. A historic breakthrough that places Ripple on a new pedestal. This announcement could ignite XRP’s price and boost the position of the RLUSD stablecoin. Ripple enters a new era.
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