Ripple-Chainlink Stablecoin partnership does not stop XRP and LINK from sinking

American fintech company Ripple and blockchain oracle provider Chainlink have partnered to accelerate the adoption of the cross-border payments company’s stablecoin, Ripple USD.

“Ripple has adopted the Chainlink standard to access highly secure and reliable price data around the recently launched Ripple USD (RLUSD) stablecoin,” Chainlink stated on January 7.

Ripple describes its new stablecoin as an “enterprise-grade, USD-denominated stablecoin built with trust, utility and compliance at its core.”

Another Stablecoin enters the crowd market

Chainlink’s price oracle feeds will provide real-time price data for RLUSD on Ethereum, enabling DeFi applications to integrate the stablecoin for trading, lending and other uses.

RLUSD is issued on the XRP Ledger and Ethereum blockchains, making it natively compatible with smart contract and DeFi applications.

.@Ripple has adopted the Chainlink standard to access highly secure and reliable price data around the recently launched Ripple USD (RLUSD) stablecoin.

Learn how Chainlink price feeds are set to accelerate RLUSD adoption across the DeFi ecosystem: https://t.co/BKJIgG0mpS

— Chainlink (@chainlink) January 7, 2025

Johann Eid, Chief Commercial Officer at Chainlink Labs, said: “The adoption of tokenized assets like stablecoins will continue to accelerate in the coming years, and having access to critical data on-chain will accelerate the process.”

“By leveraging the Chainlink standard, we bring trusted data to the chain, further strengthening the utility of RLUSD in both institutional and decentralized applications,” added Ripple Vice President Jack McDonald.

RLUSD is entering a crowded stablecoin market dominated by Tether, which has a 65% market share.

The total capitalization of the stablecoin market is at an all-time high of about $212 billion, representing about 6% of the entire crypto asset market, according to CoinGecko, which lists 232 stablecoins or pegged token derivatives .

XRP and LINK Slide

The announcement did nothing for the pair’s respective stocks, which took a hit in the broader market’s decline on Tuesday.

Ripple’s XRP is down 6.4% on the day, from $2.45 to $2.28 at the time of writing. However, the cross-border token is still up 6.6% over the past week and has gained 340% over the past three months.

XRP remains about 34% below its peak price of $3.40, reached seven years ago this week.

Chainlink’s LINK took a huge hit of 11.7%, falling from $23.50 to $20.5 at the time of writing as altcoins hit the market correction. LINK breached a three-year high of $30 in mid-December, but has failed to recover and remains 59% below its May 2021 all-time high of $52.70.

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