Ripple, a payments corporation headquartered in San Francisco, has launched a new microsite to promote its forthcoming dollar-pegged stablecoin.
Ripple USD (RLUSD) will be issued on the Ethereum (ETH) blockchain and the XRP Ledger, according to the organization’s new website.
Ripple specifies that the stablecoin will be unconditionally redeemable for US dollars and completely supported by currency and cash equivalents. The company also recognizes that the availability of Ripple USD “will be contingent upon regulatory approval.”
Ripple specifies that RLUSD will be a “stablecoin that is regulatory-compliant.” The payments company initially disclosed its intentions regarding the addition of the new asset in April. The U.S. Securities and Exchange Commission (SEC) contended in a court filing in May that the proposed stablecoin was a “new unregistered crypto asset.”
The SEC’s ongoing litigation against Ripple, which commenced in late 2020, was the subject of the court filing. The regulator reportedly sued the company for the sale of XRP as an unregistered security.
Ripple achieved a partial victory last year when US District Judge Analisa Torres determined that the company’s automated, open-market sales of XRP did not qualify as security offerings, despite the SEC’s allegations.
However, the judge did accept the SEC’s statement that Ripple’s direct sales of XRP to institutional purchasers were securities offerings.
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