Ripple CTO says RippleUSD will likely only be available to institutions

• Ripple CEO David Schwartz said the company’s RippleUSD stablecoin will likely only be available to institutions.
• RLUSD, which is being tested in private beta, could be available in a few weeks.
• XRP gained slightly on Monday, trading at $0.5309.

Ripple (XRP) Chief Technology Officer (CTO) David Schwartz said on Sunday that the RippleUSD stablecoin may only be available to institutions, addressing user concerns about its launch. RippleUSD (RLUSD) is currently in private beta and is not available for purchase or trading as the asset awaits regulatory appeal, according to Ripple’s announcement.

RippleUSD will “probably” only be available to institutions

Ripple Labs CEO Brad Garlinghouse said at Korea Blockchain Week that the company’s stablecoin is close to being issued. Garlinghouse said the launch is close, likely in “weeks” rather than months.

This timeline has sparked speculation among XRP holders about the future use of the stablecoin. XRP community member @KhaledElawadi asked if it is possible to make the stablecoin available only to institutions to insulate it from those who want to use it for money laundering.

Ripple CTO David Schwartz said the token “will likely only be available directly to institutions.” Schwartz drew parallels between RippleUSD and USDCoin and USDTether in his response.

The trader’s concern is that the availability of USD Tether to users makes it available to market manipulators and international money laundering networks.

Ripple first dropped details of its stablecoin plans in April. The firm said the token will be backed 100% by US dollar deposits, short-term US government Treasuries and other cash equivalents. There is no fixed timeline for the release at the time of writing.

XRP is trading at $0.5309 on Monday, gaining 0.29% on the day.