Ripple’s USD-backed stablecoin RLUSD has entered a brand new part of institutional development after being formally acknowledged by Abu Dhabi’s Monetary Companies Regulatory Authority (FSRA). This milestone unlocks regulated use inside the Abu Dhabi International Market (ADGM).
It coincides with RLUSD reaching a brand new all-time-high market capitalization of $1.261 billion in November, setting the stage for potential entry into the highest 5 world stablecoins.
ADGM Approval Unlocks Regulated Institutional Use for RLUSD
On November 27, Ripple introduced that RLUSD has been greenlisted by Abu Dhabi’s FSRA. This growth permits the stablecoin’s use as:
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- Collateral on exchanges,
- For lending, and
- On prime brokerage platforms inside ADGM, which is Abu Dhabi’s worldwide monetary heart.
The popularity classifies RLUSD as an Accepted Fiat-Referenced Token, permitting any FSRA-licensed establishment to make use of it in regulated actions. Notably, nonetheless, that is contingent on the establishments assembly all firm-level compliance obligations.
The transfer follows the FSRA’s updates to its Digital Asset Regulatory Framework earlier this yr, designed to speed up institutional adoption whereas imposing strict oversight.
“The FSRA’s recognition of RLUSD as a Fiat-Referenced Token reinforces our commitment to regulatory compliance and trust – two non-negotiables when it comes to institutional finance,” learn an excerpt within the announcement, citing Jack McDonald, Senior Vice President of Stablecoins at Ripple.
With the brand new designation, RLUSD can now function regulated settlement collateral. It might additionally help lending flows and combine into prime brokerage channels working below ADGM oversight.
This positions the stablecoin for extra enlargement throughout one of many world’s most lively digital-asset monetary hubs.
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Market Cap Hits $1.261 Billion as Institutional Minting Accelerates
In the meantime, DefiLlama information exhibits RLUSD’s market capitalization has surged previous $1.26 billion, with important on-chain development throughout each Ethereum and the XRP Ledger (XRPL).
Ethereum hosts roughly 1.011 billion RLUSD, up over 30% this month, whereas XRPL issuance climbed 92.6% to 225 million RLUSD.
RLUSD Market Cap. Supply: DefiLlama
This development is especially notable given RLUSD’s institutional-only minting mannequin. Retail customers can not mint the stablecoin as issuance happens completely to certified establishments.
Whereas this development is notable, particularly on Ethereum, considerations rise about XRP’s position in stablecoin adoption. Regardless of Ripple’s framing of XRPL because the core infrastructure for RLUSD, new issuances since early 2025 have nearly completely launched on Ethereum.
>RLUSD largely displaces the necessity for XRP for cross border transactions
>80% of RLUSD is on Ethereum
>Ethereum doesn’t use XRP
>XRP holders don’t obtain income from RLUSD
>XRP is the fuel token of a sequence that has little to no exercise
>Little to no XRP is burned on XRPL
You…
— Zach Rynes | CLG (@ChainLinkGod) September 30, 2025
To place it plainly, RLUSD’s Ethereum-heavy footprint challenges Ripple’s narrative that XRPL stays the spine of its ecosystem.
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“A long-time XRP holder discovered that RLUSD lives on Ethereum. He was in awe and wondered what the point of Ripple was. He later swapped his XRP for LINK and ETH,” wrote person jfab.eth.
Nonetheless, the tempo of institutional adoption has not gone unnoticed. Analyst X Finance Bull highlighted that greater than 100 million RLUSD has been minted on the XRPL in November alone.
“These are real transactions, real settlements, and real capital flows. On-chain. Permissionless. Global,” they wrote.
The agency backing RLUSD, as issued below a New York DFS Restricted Function Belief Constitution, offers full 1:1 USD backing by way of:
- Excessive-quality liquid property,
- Third-party attestations,
- Strict reserve segregation, and
- Outlined redemption rights.
Such constructions are important for approvals in tightly regulated markets just like the UAE.
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Analysts Say High-5 Entry is Inside Attain
Towards this backdrop, analysts say top-five entry is inside attain for RLUSD amongst main stablecoins on market cap metrics.
One other main step from #Ripple to make sure $RLUSD turns into a high 5 stablecoin.
That is very bullish and reinforces the work Ripple is placing in to make sure they’ve the best grade compliance globally.
It is also bullish for $XRP since issuance has been growing considerably… https://t.co/15qoCMhTtY
— Nick | Crypto Crusader (@NCashOfficial) November 27, 2025
RLUSD at present ranks thirteenth amongst stablecoins by market capitalization, in line with CoinGecko. To interrupt into the higher tier, RLUSD would want to surpass MakerDAO’s DAI ($4.44 billion).
With institutional companions ramping up utilization and new approvals rising throughout the Center East, that milestone is more and more believable.
