Last Friday, the U.S. crypto landscape saw a major shift as President Donald Trump signed the GENIUS Act into law. While the legislation creates a regulated pathway for stablecoin issuers such as Ripple, some experts argue that its direct impact on XRP is limited—at least for now.


🔹 A Boost for RLUSD, Not Necessarily for XRP

“Ripple is uniquely positioned to benefit from this new legislation,” said Austin King, co-founder of Omni Network. The law gives stablecoins like USDC and RLUSD a competitive edge in institutional adoption, which could be a key advantage for Ripple over rivals such as Circle or PayPal USD.

According to Yuriy Brisov, partner at Digital & Analogue Partners, RLUSD could allow Ripple to become a native liquidity provider in the U.S., helping the company evolve into a key infrastructure player in the American financial system—without being solely reliant on XRP.


🔹 Minimal Impact on XRP’s Price

While every RLUSD transaction burns a small amount of XRP as a network fee, the overall impact on XRP’s price is negligible. For instance, XRP Ledger has burned just 14 million tokens since launch—compared to over 59 billion XRP currently in circulation. Ripple CTO David Schwartz previously stated that such burns “will not significantly reduce supply in the foreseeable future.”


🔹 XRP’s Legal Uncertainty Remains

The GENIUS Act does not resolve the ongoing legal battle surrounding XRP’s classification. While XRP is not considered a security when sold programmatically on exchanges, Brisov noted that it “may constitute a security in institutional placements,” depending on the context of the sale.

This means XRP’s legal status remains vulnerable to interpretation, making it less likely that GENIUS alone will have a transformative effect on the token.


🔹 Ripple’s Strategic Shift

Thanks to RLUSD, Ripple now has a way to reduce reliance on XRP where regulatory uncertainty persists, particularly in sales and institutional use cases. This move allows the company to rebalance its exposure while continuing to build on its core technology stack.


🔹 CLARITY Act Could Bring Legal Certainty

A bigger shift could come with the proposed CLARITY Act, which aims to provide a formal framework for digital assets to transition from securities to commodities. According to Brisov, this could eliminate ambiguity around XRP and open the door for broader tokenization strategies within the Ripple ecosystem.

#RLUSD , #Ripple , #Stablecoins , #Clarity , #genius

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