Ripple has disclosed that it will be using the Chainlink Standard to incorporate its Ripple USD or RLUSD stablecoin into DeFi. This integration also provides on-chain RLUSD pricing data, thereby opening up other application areas such as trading and lending.
In Ripple’s press release, Chainlink Price Feeds are live on Ethereum mainnet offering accurate and immutable RLUSD price data. This development empowers DeFi developers to adopt RLUSD into their products so that their on-chain market pricing is secure and accurate.
Ripple said that integrating Chainlink gives the RLUSD ecosystem access to reliable off-chain data to enhance its standing in decentralized markets. Johann Eid, CBOb Chainlink Labs said, “The corresponding tokenized assets including stablecoins are set for further embrace in the subsequent years; getting important on-chain data propels it forward.”
RLUSD Anchored On XRP And Ethereum For DeFi
RLUSD is an anchored USD stablecoin in the XRP Ledger and Ethereum platforms, which was launched in December of 2024. This becomes possible due to the fact that it is designed to smoothly interact with smart contract based decentralised finance applications DeFi.
A significant issue that has impeded the development of the RLUSD adoption has been the ability to obtain accurate and good quality of the price feeding on-chain. This data is essential for the safe on-chain market and for governing risks inside cutting-edge DeFi applications. To overcome this problem Ripple uses Chainlink Standard, which is coherent, clear, and reliable in offering the necessary information.
A new stablecoin regulated for transparency and integrity.
Introducing Ripple USD: https://t.co/SEX2ANdZmP pic.twitter.com/EQFAoI6mKn
— Ripple (@Ripple) January 6, 2025
“While incorporating RLUSD across DeFi, five major functions remain critical in achieving stability: accurate and fair price evaluation is a factor that DeFi ecosystems require to have trust within decentralized markets,” said Jack McDonald, the Senior Vice President of Stablecoin at Ripple. He said, “We use Chainlink to build trusted data on-chain and add even more value to RLUSD for institutional and DeFi use cases.”
This web media platform chooses Chainlink Price Feeds for their credibility because Ripple features accurate, decentralized, and irreversible data. Key features include:
High-Quality Data: Chainlink collect information from high quality aggregators and exchanges and removes outliers and wash trades.
Secure Oracle Nodes: Only the nodes free from Sybil attacks with proven security background provide reliable data integrity.Decentralized Architecture: Data source decentralization, oracle node decentralization, and network decentralization minimize downtime and prevent manipulation of the blockchain.
⬡ Data
⬡ Compute
⬡ Cross-ChainDeFi ⬡ Chainlink ⬡ TradFi pic.twitter.com/V1qwVZWcAU
— Chainlink (@chainlink) January 6, 2025
Transparent Monitoring: For more reliability, the users can confirm the operation of nodes and networks of Chainlink through precise on-chain dashboard.In conjunction they help improve the reliability and stability of RLUSD, a factor which is vital if it is to be adopted by institutional and decentralized markets.
The announcement came at a time when the cryptocurrency market is rallying in general. Ripple’s cryptocurrency XRP has also risen 18% in a week, giving it a price of $2.44 per coin, a 331% upsurge annually. On the other hand, the Chainlink token link is still trading around $23.45, up by 13.8% in the last week and by a whopping 74 percent from the same time last year.
RLUSD is walking hand in glove with the new achievement of Ripple partnering with Chainlink to expand cross-chain oracles, indicating the company’s intent to push stablecoin adoption in DeFi. When that happens, RLUSD will leverage the results of this partnership to open up new opportunities in the on-chain economy for developers and users.
