Ripple's US dollar-backed stablecoin RLUSD has set a new record by surpassing PayPal USD (PYUSD) in market capitalization to cement its position as a top stablecoin globally.
Recent data from CoinGecko shows that RLUSD's market cap has grown to around $2.71 billion, enabling it to surpass its competitor, PayPal's stablecoin, with a market cap of around $2.69 billion.
This milestone was achieved less than two years after Ripple's formal introduction of RLUSD in December 2024, underscoring its rapid growth in the crypto market.
RLUSD gains
A prominent XRP Ledger validator, Vet, also commented on this development to underscore the increasing significance of RLUSD in the stablecoin industry.
"RLUSD is now a Top 5 USD backed stablecoin. On its way to be in Top 3," Vet commented.
Vet noted Ripple's long-standing contribution to building the XRP Ledger. He added that the increasing adoption of RLUSD could potentially lead to faster adoption of the blockchain by traditional financial institutions.
Vet stressed the increasing relevance of RLUSD's rising payment volume and increased use of the stablecoin on the XRP Ledger.
He also noted that RLUSD has opened the door to numerous integrations with banks and crypto exchanges.
The XRP Ledger validator further noted that these integrations could motivate financial institutions to not only run infrastructure to support the XRPL but also integrate other tokenized assets on it.
RLUSD's institutional use
This new record for RLUSD comes on the back of several key institutional partnerships and exchange integrations for RLUSD that Ripple has been announcing recently.
On Oct. 28, Ripple announced a partnership with Coinbase to provide RLUSD for retail and institutional users across Coinbase Exchange, Coinbase Prime and its retail trading app.
As part of the partnership, Coinbase also announced support for RLUSD across different blockchain networks such as the XRP Ledger, Ethereum and Base.
On the other hand, Ripple's partnership with banking giant BNY, which is the custodian of reserves for RLUSD, is also deepening.
Besides this, Ripple has also managed to secure support from Standard Chartered, which launched institutional custody services for RLUSD on the XRP Ledger back in October.