Ripple CTO: There Might Be a RLUSD Shortage at Launch
According to David Schwartz, Ripple’s chief technology officer, there may be a shortage of supply in the early stages of Ripple’s US Dollar-pegged stablecoin, but investors should not feel pressured to buy into it.
In a post shared on Dec. 15, Schwartz predicted that there will be high levels of volatility for the stablecoin, even though it is designed to maintain a 1:1 ratio with the US dollar.
He explained that there are already some extremely high bids for the unreleased stablecoin, artificially inflating its value.
Responding to a post on a forum, Schwartz pointed out that there is a buyer willing to pay $1,200 for a tiny fraction of one RLUSD, which is currently worth $1,244 in XRP. This suggests that the stablecoin’s value may be artificially inflated before its official launch.
