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Ripple has filed a new trademark for the phrase “RLUSD,” suggesting the likely listing symbol for its proposed dollar-based stablecoin.
The application for the RLUSD trademark was lodged with Justia, a U.S. legal database, on May 7. Although Ripple has not made a formal announcement, crypto community members speculate that this move is related to the stablecoin it intends to introduce in 2024.
Meanwhile, the trademark application confirms the speculation that RLUSD is likely the ticker symbol for Ripple’s forthcoming stablecoin. It outlines RLUSD’s use in electronic financial services, specifically for monetary transactions involving receiving and distributing payments in virtual currency.
This includes digital tokens pegged to a fiat currency, all conducted over a computer network—essentially stablecoin.
Community Says “RLUSD” is a Terrible Choice
As of the latest update, Ripple has not yet been granted the RLUSD trademark. However, the selection of the term “RLUSD” has sparked diverse opinions among community members.
Some have criticized the choice as “terrible,” suggesting that alternatives like USDX or USDR would have been superior. Moreover, critics argued that USDX and USDR would potentially be more appealing to retail consumers than RLUSD.
Reasons Ripple Cannot Use USDX or USDR
Notably, the anticipation for the name “USDR” is traceable to the initial “R” from Ripple’s name. On the other hand, the expectation for “USDX” arises from Ripple’s plan to launch the stablecoin on the XRP Ledger.
However, the Flare Networks team has recently unveiled “USDX” as the inaugural native stablecoin on their blockchain, backed 1:1 with USD and secured by Hex Trust, a premier institutional custodian for digital assets.
Emphatically, this development suggests that the USDX designation is not an option for Ripple’s stablecoin initiative.
Likewise, “USDR” is already in use by Real USD, making it unavailable for Ripple’s use. With both USDX and USDR taken, this situation likely influenced Ripple’s decision to settle on RLUSD for its stablecoin project.
Significantly, Ripple announced its pivot towards stablecoin early in April to capture a substantial portion of the market. Notably, the market is projected to reach a valuation close to $3 trillion in the coming years — currently $161 billion. The trademark application corresponds with the behind-the-scenes endeavors to ensure the stablecoin’s successful debut later this year.