Ripple USD (RLUSD) has been named the safest stablecoin by a popular stablecoin ratings agency. This rating came on the same day that Donald Trump signed the GENIUS Act into law.
In a report, Bluechip, a top stablecoin rating agency, stated that RLUSD was now the safest stablecoin, surpassing USD Coin (USDC), which had previously held the top spot.
The report noted that the RLUSD stablecoin was backed by U.S. Treasury bills, government money market funds, and bank deposits. Its reserves are held by Bank of New York Mellon (BNY), the biggest player in the custody bank industry.
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The report also noted that the reserves backing the stablecoin were segregated, a move that ensures that they are not comingled with those of its operations.
This report came as the RLUSD stablecoin growth gained steam. Launched in December, it has now accumulated over $527 million in assets. Most notably, it is about to flip PayPal’s PYUSD, which has over $865 million in assets.
RLUSD is likely to continue gaining market share after Donald Trump signed the GENIUS Act into law, an event attended by some of the top entrepreneurs in the industry, including representatives from Ripple and Tether.
The GENIUS Act has numerous provisions, including the requirement that they should be backed 1:1 with the US dollar or liquid assets, such as Treasury Bills. It also mandates monthly disclosures and annual audits, and prohibits interest or yield payments to holders of stablecoins.
The other notable news was that the XRP price surged to a record high after the GENIUS Act was passed and following the BlueChip report, which named RLUSD as the safest stablecoin.
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