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Ripple USD has reached a distribution milestone after the XRP Ledger overtook Ethereum as the stablecoin’s largest native network. On-chain figures place about $801.8 million in RLUSD on XRPL, compared with approximately $795.6 million on Ethereum.
The change gives Ripple’s blockchain a narrow lead in the $1.6 billion RLUSD market. Yet questions remain over what caused the shift and whether it can create stronger demand for XRP. The available data shows that Ethereum token burns played a major role, while fresh outside activity on XRPL has not yet shown the same rise.
RLUSD spent most of its first 18 months with a larger supply on Ethereum. That changed after Ripple reduced the amount circulating on the network through a series of redemptions and burns. About three-quarters of the RLUSD removed over the past month came from Ethereum.
As a result, XRPL moved into first place without a matching surge in new demand. Supply on Ripple’s ledger stayed relatively stable while Ethereum’s balance fell. This makes the ‘flippening’ partly a result of treasury operations rather than a clear migration of users or trading activity.
RLUSD now ranks among the ten largest stablecoins, with its market value close to $1.6 billion. Daily trading volume has also reached about $166 million, although those figures can change as exchanges process trades and issuers adjust supply.
Unlike RLUSD held on Ethereum, the stablecoin’s activity on XRPL can involve XRP directly. Users pay XRPL transaction fees in XRP, while the network can route trades through XRP when a direct market between two assets lacks enough liquidity.
More RLUSD on XRPL could therefore create additional XRP use across payments, exchange transfers and decentralized trading. The effect would depend on users moving the stablecoin, creating active markets and routing value through XRP rather than simply holding RLUSD in wallets or custody accounts.
Still, the network’s basic fees are very small. Supply growth alone would not create large XRP demand through fee payments. The stronger link would come from sustained settlement volume and deeper XRP-RLUSD liquidity. So far, the figures do not confirm that such activity has grown enough to change XRP’s market position.
Meanwhile, RLUSD has expanded into Japan through SBI VC Trade after receiving regulatory clearance. Ethereum serves as the initial network for the Japanese rollout, reflecting its wider support across exchanges, wallets and financial infrastructure.
That choice has raised doubts about whether XRPL can become RLUSD’s main operating network. An XRPL Foundation representative argued that Ethereum’s early role was expected and that XRPL-based RLUSD could join the Japanese market later. No fixed timetable has been confirmed.
Ripple continues to issue RLUSD across more than one blockchain. Ethereum offers access to established digital-asset markets, while XRPL supports Ripple’s payment and tokenization plans. The latest supply lead gives XRPL a larger base, but transaction data will determine whether the change reaches XRP.
For now, the central question is not where RLUSD sits, but how often outside users move and trade it. Without lasting external volume, the new supply balance may remain a technical milestone rather than a direct source of XRP demand.
Also Read: XRP Long-Term Outlook Amid Declining Profit-to-Loss Ratio
