Indeed, as many others have pointed out, the $150 billion stablecoin market is crowded – but it’s also highly lucrative. It’s possible, facing as much as a $2 billion fine from the U.S. Securities and Exchange Commission (SEC), Ripple is looking for a new, proven revenue source. Tether, the first and largest stablecoin that currently dominates the market, is essentially being used as a cash cow to fund Tether CEO Paolo Ardoino’s many wild ambitions (from AI to decentralized messaging).

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated. Daniel Kuhn is a deputy managing editor for Consensus Magazine. He owns minor amounts of BTC and ETH. CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies.

To be fair, Ripple’s XRP-based financial tools are largely meant to work in the background – though many would still likely prefer financial rails built on fiat rather than a free floating currency. Projects decide to go – our source – down the stablecoin route. Maybe that is the natural crypto lifecycle. In fact, Ripple’s soon-to-be competitor, Circle, issuer of the second largest stablecoin, went through a number of corporate reevaluations – going from a peer-to-peer payments platform to a bitcoin wallet – before it landed on the stablecoin business. That may be why a growing number of crypto companies.

What Does Ripple’s Stablecoin Mean for XRP? Well, to be fair, to be accurate, Ripple CEO Brad Garlinghouse has said the exact opposite when announcing the Silicon Valley crypto mainstay would launch a U.S. Overshadow its existing token? But in the grand scheme of things, XRP’s usefulness is dwindling. Ripple has declared the death of (XRP). Will its new stablecoin fill the gap. XRP has plenty of internet fans but Ripple has struggled to win real enterprise customers.