Ripple CTO Explains Why RLUSD Can Hit Whopping $1,200 At Launch, Warns Investors Not To “FOMO” ⋆ ZyCrypto
The post Ripple CTO Explains Why RLUSD Can Hit Whopping $1,200 At Launch, Warns Investors Not To “FOMO” ⋆ ZyCrypto appeared on BitcoinEthereumNews.com.
Advertisement     Ripple CTO David Schwartz has outlined how the company’s upcoming US dollar-pegged stablecoin, RLUSD, could initially trade at insanely high prices, possibly even $1,200, despite being designed to maintain a 1:1 parity with the US dollar. He stressed early supply bottlenecks and speculative enthusiasm as key factors likely to cause any short-lived spike. Schwartz then warned investors against seeing the much-hyped token as an opportunity to bag life-changing profits. Why RLUSD May Be Priced At More Than $1 David Schwartz said in a lengthy Dec. 15 X post that he anticipates high volatility for RLUSD immediately after its debut, with a handful of huge orders for the stablecoin as some buyers are willing to pay way over the $1 price target. Schwartz indicated that some of these initial pre-market bids for the RLUSD stablecoin, which is currently unreleased, artificially inflated its value before its official launch. The statement came after a crypto community member spotted RLUSD being priced at 511 XRP (around $1,231) per unit on the Xaman trading platform, way above its intended $1 peg. Advertisement   “There actually is someone willing to pay $1,200/RLUSD for a tiny fraction of one RLUSD,” the Ripple CTO wrote. In Xaman t’s showing the price to be a $1,200 RLUSD conversion to XRP. Is this the instant over night price adjustment the XRP community has been waiting for… Will the price of XRP adjust to the value OF 1 RLUSD or is this a glitch until it goes “LIVE”? https://t.co/kzYZ18fVGD — Digital Assets Daily (@AssetsDaily) December 11, 2024 According to Schwartz, the bid looked as though excited buyers wanted to claim “the honor” of purchasing the first units of RLUSD to get to the market. However, he said such inflated valuations would be short-lived, assuring that “the price will…
Filed under: News - @ December 16, 2024 6:20 pm