ALL THE XRP FUD JUST GOT NUKED! RLUSD PLAN EXPOSED COMPLETELY!

Added: 2026-05-26

[00:00:00]Over the years of being an XRP investor, I have heard all of the fud stories. Oh, Ripple is dumping XRP. Oh, Ripple doesn't care about XRP. Oh, XRP is a scam coin. It's this coin. It's that coin. Whatever the case may be. And you know, even today, like we know Ripple launched rUSD.

[00:00:20]And people have still stated like, oh, rUSD replaces XRP. Like Ripple doesn't care about XRP because they launched rUSD.

[00:00:28]And I think that this is the funniest thing because again, like you really look at the big picture here and rUSD in the simplest way possible complements the original XRP use case anyways.

[00:00:42]Even tokenization, like people have stated like, oh, with every single like thing of value being tokenized, it completely, you know, replaces the XRP use case. No. Again, it reinforces the XRP use case because you have all of these different things of value that still need to be bridged. You still need something in the center settling those transactions. XRP is the best neutral bridge currency for that use case.

[00:01:08]But again, we look at the facts here.

[00:01:11]rUSD.

[00:01:13]I remember when rUSD officially launched, everyone was like, oh, that's it. Like look at Ripple doesn't even care about XRP. They have almost a billion dollars on Ethereum and practically nothing on the XRP ledger.

[00:01:24]Like, wow, XRP holders got screwed again by Ripple. Now we're starting to see the XRP ledger keeping up with Ethereum by having nearly half of what Ethereum has in terms of supply on the XRP ledger.

[00:01:37]And if we're looking at the growth here, 34% in the last 30 days compared to almost 10% in the last 30 days for Ethereum. So, we're seeing a big growth rate here and I would argue that this is probably going to continue.

[00:01:51]But I bring this up because recently Goldman Sachs exited 100% of their XRP and Solana ETF positions. We talked about it in a previous video. Obviously, it's kind of nonsense. It's ridiculous when you look at it.

[00:02:03]Um but there was a response to this.

[00:02:07]And it was smart move. I left XRP back in October of last year. ORO USD is the preferred token of transmission and XRP is just dust in the wind.

[00:02:19]Uh where do I start with this?

[00:02:22]Um do I start with the idea that this individual is in crypto but doesn't understand at all on how crypto works?

[00:02:30]Because again, when you have a token like ORO USD, okay, and it's issued out and pretty much mint it on a blockchain like the XRP ledger.

[00:02:43]And it's moving. It's being utilized for transactions on that XRP ledger.

[00:02:49]It creates something that we call demand.

[00:02:53]Demand of the underlying network, which it results in the underlying demand of the gas token moving that value on the network.

[00:03:03]In other words, ORO USD gets used, the XRP ledger gets used, XRP gets used.

[00:03:11]Simply demand.

[00:03:13]So this comment here is just absolutely ridiculous. I mean it's it's idiotic if I'm being real.

[00:03:22]But also we go back to XRP on Ripple's website, the digital asset for real-world utility.

[00:03:30]And we look at all of the ways that they utilize XRP, why XRP is so disruptive, but we look at the simplest use case here.

[00:03:39]The simplest use case for XRP is as it's basically just a bridge currency. Like we look at it being utilized as a bridge currency. Even under the cross-border payment settlement side of things.

[00:03:52]XRP is being described as a bridge currency for any cross-border payments. It doesn't matter if it's a stablecoin cross-border payment, it doesn't matter if it's any sort of transaction, XRP can be tapped in and utilized as a bridge currency.

[00:04:14]Even the XRP Ledger learning portal, which I did include in a video a couple weeks back, even within this, they mention how XRP is utilized as a bridge currency.

[00:04:28]For example, in traditional banking, the US dollar often functions as a bridge currency, facilitating transactions between two countries with less liquid or volatile currencies. In the cryptocurrency space, XRP has gained popularity as a digital bridge currency due to its ability to offer fast, low-cost cross-border transactions.

[00:04:47]And yes, with the underlying technology, XRP can settle transactions in a matter of seconds compared to traditional systems like Swift, which can take several days. Additionally, XRP significantly reduces transaction fees, making it more affordable alternative for businesses looking to perform large volumes of international transfers.

[00:05:05]So yes, XRP, even as a bridge currency, being utilized for, you know, stablecoin transactions or just transactions in general, is still the best use case for XRP.

[00:05:19]Obviously, there's a ton of other ones, but that's like the main bread and butter.

[00:05:23]But we go back to even OUSD because yes, you know, we we think about this. It's pretty much just debunked the whole idea of like, oh, OUSD replaces XRP, but Evernode recently put out a great post regarding all this as well. We have here, if OUSD does what XRP was supposed to, why still need XRP?

[00:05:42]Well, we get some version of this question constantly, and I do as well.

[00:05:46]Two different functions, both grow as on-chain finance grows.

[00:05:50]And for looking into this, we have the swap child, or swap kid, if you will.

[00:05:55]Y or USD can't replace XRP.

[00:05:58]And this is the the image that they included in this document, by the way.

[00:06:02]So, we have on the left side, without a routing asset, eight assets, 28 pools needed, every pair needs its own liquidity. XRP is the swap kid. Y or USD can't replace XRP. And then on this right side, we have with XRP as the routing asset, eight assets, eight pools needed, XRP intermediates every single trade.

[00:06:20]What we have here, and let me just kind of zoom in so that you guys can see.

[00:06:24]The trading problem at recess. A group of kids have various different snacks.

[00:06:29]One has goldfish, another fruit snacks, and others with pretzels, cookies, juice boxes, and more. Some kids brought one snack from home, but want a different one, what someone else has. So, they start trying to trade.

[00:06:41]The first thing they realize is that directly trading is hard.

[00:06:45]Jenny walks up to Sam with goldfish. Sam has fruit snacks, but Sam doesn't want goldfish. Sam wants pretzels. So, now Jenny has to find a third kid, Maya, who has pretzels and wants goldfish, trade with Maya, run back to Sam, trade pretzels for fruit snacks. Three trades for one swap. Recess is half over, and that was only with three kids.

[00:07:05]It gets worse with more kids. If there are 10 different snacks on the playground, there are 45 possible pairs of snacks somebody might want to trade.

[00:07:13]With 100 snacks, there are nearly 5,000 pairs. The chance that two specific kids happen to want each other's exact snack at the same exact moment gets smaller and smaller. This is the same problem real markets have. The more assets there are, the harder direct trading becomes.

[00:07:29]So, when we think about this, the swap kid. So, somebody figures out a better idea. One kid, let's call him the swap kid, sets up in the corner with a little bit of every snack. He's got goldfish, fruit snacks, pretzels, cookies, juice boxes, everything. He doesn't need what you have or have what you want. He just trades.

[00:07:51]You walk up with Goldfish, you walk away with fruit snacks. One step, he didn't have to find anybody, he had everything ready.

[00:07:58]What's the swap kid actually doing? It looks like one trade, but really it's two. He's buying your Goldfish from you, making note on the swap kid ledger, and selling you fruit snacks, also noting on the ledger. Two trades, both involving him, both happening in one motion.

[00:08:12]Without the swap kid, the whole thing doesn't work. This is what XRP does.

[00:08:16]When somebody on the XRP ledger trades a tokenized treasury bill for a euro stablecoin, the path under the hood looks like this. Tokenized treasury bill to XRP to euro stablecoin.

[00:08:25]The XRP step is invisible to the trader.

[00:08:27]They see treasury bill in euro stablecoin out.

[00:08:30]But, the XRP in the middle is what makes the trade possible instantly without anybody having to find a specific buyer on the other side. XRP is the swap kid.

[00:08:38]So, OUSD is completely different. It's a stablecoin, a digital dollar designed to be valued at $1, backed by reserves held by the issuer. It's a really good dollar representation. It moves on a blockchain, settles in a second, and works in place or in places a regular dollar can't.

[00:08:54]But, OUSD isn't trying to be the swap kid. It's trying to be a juice box, a specific thing with a known value useful whenever both sides of a trade want a dollar.

[00:09:04]A lot of trades on the XRP ledger often have a dollar on at least one side. OUSD is an excellent for those situations.

[00:09:10]However, a lot of trades do not. For example, tokenized treasury is being swapped for tokenized real money market funds, lending market denominated in different assets, any cross asset activity that doesn't naturally have a dollar leg. For those, you need something else in the middle. You need the swap kid. But, why can't OUSD just be the swap kid? Three reasons. One company's bad day shouldn't break the playground. OUSD exists because a company mints it and holds dollars in a bank to back every token. That's how stablecoins work. It's why each ROUSD is designed to equal $1.

[00:09:43]So, when you think about like XRP, like nobody mints XRP. Nobody redeems it.

[00:09:47]Nobody guarantees it. It just exists on the ledger as currently designed. No single company controls it. That's the actual feature.

[00:09:54]So, when you think about the swap kit, it's made to be reliable infrastructure.

[00:09:58]Infrastructure shouldn't have a single failure point at all.

[00:10:03]And then the the swap kit has to work for everyone, which means like it can't just be denominated in a specific currency. Uh so, when you look at stablecoin issuers, they have to follow rules. They have to comply with sanctions, court orders, back blacklists, and geographic restrictions.

[00:10:18]They can freeze tokens in specific wallets. They can decline to operate in certain countries. They can refuse to redeem tokens held by certain people.

[00:10:25]All of that is normal and appropriate for a regulated stablecoin operating in defined markets. It becomes a structural problem if that same stablecoin is supposed to be the routing asset for every trade on a global permissionless ledger. XRP though, under the current protocol design, no party can freeze XRP or prevent it from settling a trade.

[00:10:43]That neutrality is a structural requirement for the routing role. And also, a pool needs two different things in it. So, the actual place where two assets swap on the XRP ledger's DEX is often with a liquidity pool or AMM. And a pool needs two different assets. You need a pool of ROUSD or Euro stablecoins.

[00:11:00]You can have a pool of ROUSD and tokenized treasuries. But, what they both need something that isn't ROUSD on the other side. Once you accept that pool needs a non-ROUSD asset, the next question is, in you know, which non-ROUSD asset becomes a natural bridge currency for the rest of the ledger?

[00:11:18]It's the one everyone else or everybody else's pool routes through, which is XRP. That's why XRP being that neutral bridge currency is so valuable. So, when you think about this, like you You XRP in the simplest way possible, like the bridge currency conversation or title, if you will, is very simple to understand. I've I've explained this so many times on the channel when it comes back to like, oh, like XRP's going to get replaced. XRP's going to get replaced. No, it's not. You can't replace it.

[00:11:50]You can't replace it because XRP in the simplest way possible is the swap kit.

[00:11:54]It's the bridge currency.

[00:11:56]It's what makes all of these different fiat pairs and everything, you know, easy to move in a digital age of finance. And even Vet stated this as well. Like he quoted this and said, "A must read. People get the relationship of XRP and tokens wrong. XRP is the swap kit. Issued assets like oral USD can never replace XRP in being the swap kit.

[00:12:18]The same problem that a neutral digital asset solves for liquidity pools was described in the latest IMF report, by the way."

[00:12:25]And here we have the simplest way of breaking it down, which we went over, which is the tokenized treasury bill with the XRP and the euro stablecoin.

[00:12:31]But then also over here we do have the IMF tokenized finance report. And within this we do have I agree with the IMF that liquidity fragmentation is real.

[00:12:39]Here the IMF calls for SCBDCs, synthetic CBDCs, issued by private issuers, but instead of with private money, they want it being issued against central bank reserves, fearing money markets like runs, etc. Okay. But the IMF fails to classify the settlement asset problem.

[00:12:56]In their model, central banks would provide liquidity for each stablecoin pair. Now, ask yourselves this. Do you believe with all the downhill trust that all central banks will come to bilateral liquidity agreements again?

[00:13:08]It's a squared problem. 20 central banks would need 190 liquidity pools. You know what what's easier? To collapse it all to a neutral bridge asset that aggregates demand with zero agreements needed. That's why XRP is so valuable. Guys, people have been misreading what XRP is doing and what XRP has accomplished in terms of its simple technological view for years now.

[00:13:38]That's why when we look at what's happening here, when we think about Ouro USD being very successful. Oh, Ouro USD is being very successful. Good for Ripple. It sucks for XRP, right? No.

[00:13:50]Because right now, you're starting to see stable coins rising around the world. You look at inter-jurisdictional, you know, countries here and around the world we are starting to see major moves around specific assets from euros to the US dollar to, you know, the yen to so many different fiat-based pairs.

[00:14:10]This is extremely bullish and from an XRP holder point of view, you want to support all different fiat-based stable coins. Because what's good for XRP is having so many dominant fiat currency stable coins in place because going back to this post, yeah, you need XRP at the center for anything that's trading from a tokenized asset to a stable coin or a stable coin to a stable coin, anything that you're swapping out, XRP is at the center of that trade. That's why when we think about what's happening even with tokenized value um of like specific assets, like if we look at, you know, tokenized treasuries or even debt or credit or stocks, whatever the case may be, like XRP as that neutral bridge currency is extremely revolutionary.

[00:15:00]And that's why Ripple pretty much saw this initially in the beginning stages when they always looked at cross-border payments with XRP.

[00:15:08]That use case is still very valuable today where, you know, stable coins and tokenization are soaring in a big way.

[00:15:15]So, if anyone is saying like, "Oh, XRP is getting replaced by the stable coin."

[00:15:20]Like JP Morgan launched the stable Oh, that said XRP's useless.

[00:15:24]No.

[00:15:26]In fact, it reinforces XRP even more.

[00:15:30]This is what everyone needs to understand if you hold XRP.

[00:15:34]There's nothing close to it.

[00:15:37]And ARUSD will never be XRP.

[00:15:41]It will never replace XRP.

[00:15:43]So with that being said, I hope that you guys enjoyed this video. If you guys did, definitely like, subscribe, turn notifications on for more free content.

[00:15:49]Guys can follow me on full man on Twitter and join the free Discord in the description below. And with that being said guys, thank you guys for watching.

[00:15:54]Peace out guys.