Ripple has integrated Chainlink’s infrastructure to provide transparent price data for the USD-denominated stablecoin RLUSD on the Ethereum blockchain.
RLUSD is designed to maintain parity with the USD and is positioned as an enterprise stablecoin with a focus on transparency, utility, and regulatory compliance. The integration aims to enhance RLUSD’s usability in the decentralized finance (DeFi) ecosystem.
Chainlink Price Feeds are now live on the Ethereum mainnet, allowing developers to integrate RLUSD into various DeFi applications such as trading and lending platforms. The Chainlink standard provides a decentralized solution that provides secure and real-time asset price data – a key factor in supporting RLUSD’s adoption in on-chain markets.
Stablecoins like RLUSD aim to enable faster, more cost-effective cross-border and domestic transactions. Ripple’s RLUSD, issued on both the XRP Ledger and the Ethereum blockchain, is natively compatible with smart contract-based applications. However, to drive broader adoption in DeFi, developers need reliable price data to manage risk and support a variety of financial use cases.
Integrating Chainlink’s decentralized oracle network ensures that RLUSD can leverage high-quality off-chain data, providing the infrastructure needed to support secure and scalable DeFi applications. Chainlink’s Price Feeds aggregate market data from multiple sources, providing a volume-weighted average price that helps combat manipulation.
- Ripple selected Chainlink’s solution after evaluating key features, including:
- Data Quality: Aggregated from multiple premium sources and filtered for accuracy.
- Secure Node: Operated by independent entities and audited for security.
- Decentralization: Minimizing the risk of single points of failure.
- Transparency: Providing tools to monitor and verify data integrity.
Representatives from Chainlink Labs shared their collaboration with Ripple to expand the use of RLUSD, emphasizing the growing importance of reliable onchain data for crypto assets like stablecoins.
On Ripple’s side, representatives asserted that accurate pricing is key to RLUSD’s role in DeFi markets. By leveraging Chainlink’s trusted data source, Ripple hopes to increase the utility of RLUSD for both institutional and decentralized applications.
