Ripple Labs Files Trademark for “RLUSD,” Which Is Speculated to Be the Ticker Symbol for Its Proposed Dollar-Based Stablecoin

Ripple Labs has recently filed a trademark for “RLUSD,” which is speculated to be the ticker symbol for its proposed dollar-based stablecoin.

Cryptocurrency company Ripple Labs has filed a trademark for “RLUSD,” which is speculated to be the ticker symbol for its proposed dollar-based stablecoin. The application was filed on May 7 to the U.S. legal database Justia.

While Ripple has not officially announced the move, the crypto community is abuzz with discussion around the implications of this new development. Here's a closer look at the trademark application and some of the community reactions.

Trademark Filing and Speculations

According to the trademark application, “RLUSD” is intended for use in electronic financial services, specifically pertaining to handling monetary transactions in virtual currency. The description of the services includes receiving and distributing payments in digital tokens pegged to fiat currency, which essentially defines it as a stablecoin.

The application further states that the trademark will be used in the context of a protocol that connects a swapper on one side with an automated market-making function coded into the autonomous protocol on the other. This protocol will be used to facilitate the stablecoin transactions.

Community members have expressed diverse opinions on the choice of “RLUSD” as the ticker symbol. Some find it to be a logical and recognizable representation of the stablecoin, while others believe that it is not the most appealing or retail-friendly ticker.

In fact, one community member commented on the choice, writing, “Clearly not to attract retail. It doesn’t even flow right. USDR sounds much better.” Several members of the XRP community seem to agree with this sentiment, arguing that alternatives like “USDX” or “USDR” would have been more appealing and recognizable to retail consumers.

Why Not “USDX” and “USDR”?

The anticipation for names like “USDR” stems from Ripple's name, while “USDX” was expected due to Ripple’s plans to deploy the stablecoin on the XRP Ledger. However, some interesting details emerge when we look into these possibilities.

“USDX” is already utilized by Flare Networks for their native stablecoin, which is pegged 1:1 with USD and secured by Hex Trust. On the other hand, “USDR” is already in use by Real USD, a stablecoin that is fully collateralized and pegged 1:1 with the U.S. dollar.

These existing designations of “USDX” and “USDR” by other entities likely influenced Ripple's decision to opt for “RLUSD” as the ticker symbol for its stablecoin.

Future Prospects

Ripple's foray into stablecoins is seen to be a strategic decision that will capture a large portion of the market, which is anticipated to grow manifold in the next few years. The trademark application has raised speculations of Ripple preparing for the successful launch of its stablecoin later this year.

The current market value of the stablecoin market is $161 billion. But, this market is estimated to grow almost 18 times by 2024 to nearly $3 trillion. Earlier in April, Ripple announced a pivot to stablecoins in efforts to capture a large slice of the market projected to reach a valuation close to $3 trillion.