Ripple To Test RLUSD Stablecoin In Singapore's Central Bank Pilot

Ripple (CRYPTO: XRP) is piloting its RLUSD (CRYPTO: RLUSD) stablecoin in a trade finance sandbox backed by Singapore's central bank, targeting faster and more efficient cross-border payments.

RLUSD Put To Test

The pilot, part of the Monetary Authority of Singapore's BLOOM initiative, involves Ripple partnering with Unloq to automate trade payments, CoinDesk reported on Wednesday.

Using Unloq's SC+ platform and the XRP Ledger, RLUSD transactions are executed automatically once predefined conditions, such as shipment verification, are met.

The model replaces traditional trade finance systems that rely on paperwork, intermediaries and long settlement cycles, potentially cutting processing times from weeks to near-instant execution.

Singapore's involvement signals growing regulatory confidence in RLUSD as an institutional-grade settlement tool. The initiative also aligns with Ripple's broader push into enterprise adoption and compliant digital payments infrastructure

Debate Around XRP Incentives

Separately, a user on X suggested Ripple could boost XRP adoption by offering cheaper subscriptions to institutions that use the token in its payments network.

Ripple CTO David Schwartz responded that while the idea has been discussed, he opposes artificial incentives. Ripple shouldn't "pay" institutions to use XRP if it's not the best option, since that creates unsustainable, artificial demand.

He said adoption should be driven by real advantages, such as lower costs, speed and efficiency, rather than subsidies. Relying on incentives, he warned, can create unsustainable demand that fades once benefits are removed.

Instead, Schwartz said Ripple should focus on reducing friction and risk, allowing XRP's utility to drive organic adoption.

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