Ripple, a leading blockchain payments company, recently issued a public service announcement (PSA) regarding its stablecoin, Ripple USD (RLUSD). The company clarified that RLUSD remains in private beta and is not available for public use. Ripple urged the public to remain cautious of scammers, as any claims of RLUSD distribution at this stage are fraudulent.
Rising Speculation and Stablecoin Minting
Despite the stablecoin being in its testing phase, there has been notable on-chain activity linked to RLUSD. Ripple’s private beta, which started on August 9, has seen the company mint RLUSD tokens on both the XRP Ledger (XRPL) and Ethereum networks. Enthusiasts recently observed over 1.7 million RLUSD tokens minted within just five days across 14 transactions on these networks.
Related article: Ripple CEO Announces Near Launch of RLUSD Stablecoin
This increase in minting has led to speculation that Ripple has created up to 80-100% of the stablecoin’s supply. As interest in RLUSD grows, scammers are also trying to exploit the situation. XRPL dUNL validator and community figure Vet shared warnings about scammers posting fraudulent messages under the RLUSD tracker, which monitors stablecoin mints.
One fake announcement claimed the launch of an “XRP Rewards Event.” Vet advised users not to click on any suspicious links in these comments to avoid falling for scams. Moreover, other bad actors have falsely claimed that RLUSD distribution has begun, aiming to steal funds from unsuspecting investors.
Ripple Clarifies RLUSD’s Availability
Ripple has repeatedly stressed that RLUSD is not yet available for public use. Although some speculate that the stablecoin might launch on Ethereum this year, Vet pointed out that its debut on XRPL might face delays due to technical issues.
Related article: Ripple USD Launch Sparks Controversy Amid XRPL Limitations
The XRP Ledger currently blocks tokens with clawback features from being used in the network’s automated market maker (AMM). To resolve this, two amendments, XLS-73 AMMClawback and XLS-77, are in development. Hours after Ripple’s PSA, the company continued minting RLUSD tokens.
According to the Ripple Stablecoin Tracker, 600,000 RLUSD tokens were minted in five transactions on Ethereum within the last 10 hours. In total, Ripple has minted over 2.31 million RLUSD on Ethereum and XRPL in one week.
