Crypto enthusiast All Things XRP has addressed concerns from some community members who believe that Ripple’s USD-pegged stablecoin RLUSD could undermine XRP’s utility within the XRP Ledger (XRPL) ecosystem. In a detailed post, All Things XRP argued that RLUSD could enhance XRP’s position rather than replace it. According to the post, XRP occupies a unique and irreplaceable role as the native asset of the XRPL. This status grants it specific privileges no other token, including RLUSD, can match. XRP is the only asset on the ledger that can be used to pay transaction fees, is held by every account without requiring trust lines, and operates without counterparty risk, freezes, or clawbacks. RLUSD , by contrast, is an issued asset with reliance on its issuer, Ripple, and cannot fulfill these same roles. EVERYONE’S ASKING: WILL RLUSD KILL XRP? The truth: RLUSD could supercharge XRP’s role on the XRPL. Here’s why XRP holders should be excited. pic.twitter.com/XokAphRkrZ — All Things XRP (@XRP_investing) August 10, 2025 Transaction Fees and Constant Demand for XRP One of the key points highlighted is that every transaction on the XRPL burns a small amount of XRP , regardless of whether the transaction involves RLUSD or another token. This means that higher RLUSD adoption would still lead to more XRP being consumed through fees. Even if users are trading or making payments in RLUSD, XRP remains essential for completing these transactions, maintaining a baseline demand for the asset. Autobridging and Increased Liquidity Routes The XRPL’s built-in decentralized exchange (DEX) prioritizes XRP liquidity through a process called autobridging, which automatically routes trades through XRP to improve efficiency. All Things XRP explained that an increase in RLUSD trading pairs would naturally lead to more XRP being used in bridging operations, further supporting demand for XRP. While RLUSD could serve as a stable settlement tool in cases where volatility is a concern, XRP is positioned as the optimal choice due to its speed and global liquidity. In this view, the two assets complement each other. RLUSD could handle the stability aspect, while XRP remains central to transaction processing and cross-border movement of value. We are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 Addressing the Replacement Myth The post referenced Ripple’s Chief Technology Officer, David Schwartz, who has stated that RLUSD will not replace XRP’s core functions. If any stablecoin had the potential to replace XRP, it would have to outperform XRP’s inherent advantages, which the post suggests is highly unlikely. This is due to XRP’s protocol-level integration and independence from any single issuer, making it universally accepted on the XRPL with no counterparty. Ripple’s Role and Network Decentralization All Things XRP also addressed concerns about Ripple’s influence over the XRPL , noting that Ripple operates only around one percent of validators. This means the company does not have unilateral control over the network and cannot phase out XRP, which is embedded in the ledger’s underlying code and function. The conclusion drawn is that RLUSD should be seen as an additional driver of XRPL activity rather than a threat to XRP. Increased RLUSD use would likely result in more trades, more tokenized assets, and more transactions overall, all of which require XRP for fees and often for liquidity bridging. According to All Things XRP, this is ultimately bullish for XRP’s long-term utility and scarcity. Disclaimer : This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are advised to conduct thorough research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses. Follow us on X , Facebook , Telegram , and Google News The post Here’s Why XRP Holders Should Be Excited about RLUSD Emergence appeared first on Times Tabloid .
