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Ripple Labs, a global leader in blockchain payment solutions, has joined forces with Chainlink (LINK) to adopt the Chainlink Standard. This strategic partnership aims to accelerate the mainstream adoption of Ripple’s fiat-backed stablecoin, Ripple USD (RLUSD), while enhancing its utility in decentralized finance (DeFi) ecosystems, particularly on the Ethereum (ETH) network.
The integration of the Chainlink Standard ensures RLUSD benefits from high-quality price feeds on the Ethereum mainnet. These feeds provide reliable and transparent pricing, allowing DeFi protocols to offer robust, battle-tested solutions. Jack McDonald, Ripple’s SVP of Stablecoin, emphasized the significance of this collaboration, stating:
“By leveraging the Chainlink Standard, we bring trusted data on-chain, further strengthening RLUSD’s utility across both institutional and decentralized applications.”
RLUSD’s Role in the Expanding Stablecoin Market
With the stablecoin market valued at $212 billion and trading volumes averaging $97 billion daily, Ripple Labs aims to establish RLUSD as a key player. Competing against established giants like USDC, USDT, and PYUSD, RLUSD’s integration with Chainlink enhances its reliability and scalability in DeFi applications.
By securing on-chain functionality and pricing precision, Ripple positions RLUSD as a stablecoin built for the evolving needs of the digital economy. This move also highlights Ripple’s broader ambition to dominate the cross-border payment landscape, leveraging its blockchain expertise.
Market Implications
This partnership has significant implications for the native tokens of both entities. Following the announcement, XRP rallied 2.2%, trading at $2.43, fueled by growing optimism about Ripple’s expanding ecosystem. The altcoin recently broke out of a multi-year triangular consolidation, signaling potential for further gains.
Similarly, Chainlink’s LINK token is on the brink of a breakout, forming a bullish flag pattern near $21. Institutional interest continues to drive LINK toward its all-time high.
As RLUSD gains traction, the collaboration between Ripple and Chainlink underscores their commitment to advancing blockchain technology and fostering the growth of decentralized finance.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
