Ripple USD liquidity grows 550% as US CBDC efforts stall in Congress

Ripple USD (RLUSD) liquidity more than tripled to $1.52 billion in early 2026, surging as the U.S. Senate advanced a sweeping ban on Federal Reserve digital currency development in early March. The growth, documented in a Messari report, reflects 550% expansion from $235 million at the end of 2025, driven by large token mints and institutional adoption of Ripple’s regulated settlement stablecoin.

Recent token issuance has been a major contributor to the increase in Ripple USD liquidity. Last week, RLUSD Treasury minted 69 million tokens on the XRP Ledger — the largest single issuance recorded so far — with the newly minted tokens reportedly transferred to the Gemini cryptocurrency exchange.

The stablecoin is designed to maintain a 1:1 peg with the U.S. dollar and is backed by dollar deposits, short-term U.S. Treasuries, and cash equivalents. Ripple has positioned RLUSD as a regulated settlement asset aimed at cross-border payments and institutional blockchain finance.

In recent months, the treasury has also conducted repeated token minting and burning cycles across both the XRP Ledger and the Ethereum network, including a 20-million-token mint on February 27 and another issuance of roughly 10 million tokens shortly before that.

As a result, analysts say Ripple USD liquidity has become one of the fastest-growing indicators within the XRP Ledger ecosystem.

US lawmakers push forward with CBDC ban

The surge in Ripple USD liquidity is unfolding against a shifting regulatory backdrop in Washington. In early March, the United States Senate advanced a sweeping housing reform package that includes provisions restricting the Federal Reserve from issuing a central bank digital currency.

The proposal has gained bipartisan support and reflects growing political concern about government-issued digital money.

Ralph Norman, a U.S. lawmaker involved in the discussion, confirmed the direction of the initiative in a public statement on social media.

“I’m proud to sign onto a letter urging House and Senate leadership to permanently ban a Central Bank Digital Currency (CBDC). Americans deserve financial freedom, not government-controlled money.” — Ralph Norman, U.S. Representativ

The policy debate has added urgency to discussions around privately issued stablecoins. As policymakers weigh the future of digital dollars, expanding Ripple USD liquidity demonstrates how market-driven alternatives are already gaining traction across blockchain networks.

Industry observers say the contrast between regulatory hesitation over a government digital currency and growing stablecoin activity could shape the next phase of financial innovation.

Partnerships and infrastructure support expand Ripple USD liquidity

Ripple has also strengthened infrastructure partnerships that may further support Ripple USD liquidity growth.

The company recently collaborated with Securosys and Figment to enhance its custody platform. Securosys provides hardware security modules designed to strengthen cryptographic key management, while Figment supports staking services on proof-of-stake networks such as Ethereum and Solana.

These developments are intended to reinforce institutional confidence as Ripple USD liquidity continues expanding within the broader ecosystem.

Ripple is also working with Aviva Investors, a subsidiary of Aviva plc, to digitize traditional investment funds on the XRP Ledger. The initiative highlights growing interest in tokenized financial assets and blockchain-based settlement infrastructure.

Meanwhile, Ripple has expanded the capabilities of its payment infrastructure, allowing users in more than 60 markets to receive, hold, swap, and distribute funds in both fiat currencies and stablecoins.

Some industry figures argue that these developments show how Ripple USD liquidity could help unlock dormant capital across blockchain networks.

Panos Mekras, CEO and co-founder of Anodos Finance, described the potential impact of the growing ecosystem.

“With billions of dollars in XRP sitting idle, RLUSD liquidity accelerating, and over 7 million accounts, the XRP Ledger sits on a mountain of untapped economic energy.” — Panos Mekras, CEO and Co-founder, Anodos Finance

Ethereum layer-2 expansion could further boost Ripple USD liquidity

Ripple is also preparing to extend RLUSD to additional blockchain environments, a move that could further increase Ripple USD liquidity.

In February, the company confirmed plans to integrate the stablecoin with Ethereum layer-2 networks next year using the Wormhole interoperability protocol. The integration will target networks including Optimism, Base, Ink, and Unichain.

According to Ripple executives, the strategy is designed to expand blockchain interoperability and accelerate stablecoin adoption across scalable networks.

Jack McDonald, Senior Vice President at Ripple, said the broader industry shift toward stablecoins is helping restore momentum to decentralized finance and institutional blockchain use.

“Stablecoins are making DeFi and institutional adoption feasible again,” — Jack McDonald, SVP, Ripple

By combining regulatory compliance with blockchain efficiency, Ripple aims to position RLUSD as a core settlement layer across digital finance. If adoption continues at its current pace, analysts say expanding Ripple USD liquidity could play an increasingly significant role in shaping the future of blockchain-based payments.