Tanju Akbıyık 
Ripple chief technology officer David Schwartz made important statements about RippleUSD (RLUSD), Ripple’s new stablecoin indexed to the US Dollar. Schwartz stated that in the early days of the launch of RLUSD, there may be volatility in the market due to lack of supply and warned investors ‘Don’t get caught up in FOMO’.
High Volatility Expected at the Launch of RLUSD
In a post on 15 December, Schwartz stated that the launch of RLUSD will result in a large volume of transactions, which could lead to price fluctuations. Although the stablecoin is designed to be pegged to the US Dollar at a 1:1 ratio, high initial demand may temporarily increase its value.
Referring to a wallet post on social media showing that RLUSD is equivalent to about 511 XRP, Schwartz said this is an artificial pre-launch price increase. This currently corresponds to $ 1,244 by market capitalisation. ‘Someone seems to want the honour of buying the first RLUSD to hit the market,’ Schwartz commented.
‘Price will stabilise in a short time’
Schwartz stated that the price will quickly stabilise after the launch and return to dollar parity:
‘The price will stabilise very close to the $1 level. If this does not happen, there is a serious problem.
He also warned investors not to rush into RLUSD:
‘Please don’t FOMO into a stablecoin! This is not an opportunity to get rich.’
Ripple CEO Brad Garlinghouse announced on 11 December that the launch of RLUSD received approval from the New York Department of Financial Services. It was also shared from the official Ripple account that Stablecoin will be released soon.
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