Why Are Traders Bidding $2,000 When RLUSD Price Is $1?

Ripple’s RLUSD stablecoin is set to launch this Tuesday, and excitement is spreading fast across the crypto world. With listings on platforms like Uphold, MoonPay, Archax, and CoinMENA, the hype is real. But there’s a surprising twist—some buyers are paying thousands for RLUSD, even though its price is pegged at just $1.

People Are Already Paying Premiums—Here’s Why

On-chain marketplaces like Xaman are buzzing with activity as collectors and traders rush to get their hands on RLUSD early. Some bids have gone as high as 836 XRP—around $2,068—just for a small fraction of the stablecoin. Considering RLUSD’s $1 price tag, these numbers are shocking.

David Schwartz Explains the Hype

Ripple’s CTO, David Schwartz, weighed in on the unusual bidding frenzy. In a post on Sunday, he shared an example of someone offering $1,200 for just a tiny fraction of RLUSD.

“There actually is someone willing to pay $1,200 for a tiny fraction of RLUSD,” Schwartz said.

According to him, some buyers simply value being among the first to hold RLUSD, even if it doesn’t make much financial sense.

Ripple Warns of Early Price Volatility

Ripple expects some price swings when RLUSD launches, mostly due to limited early supply. This kind of volatility is normal during a token launch. Schwartz reassured the community, explaining that RLUSD’s price will stabilize as liquidity increases.

So, why the chaos? It’s a mix of hype and speculation. The crypto market has seen this before—whether with new tokens or NFT drops, some people are willing to pay a premium to “own a piece of history.”

Schwartz, however, had a clear message for those getting caught up in the frenzy:

“Please don’t FOMO into a stablecoin! This is not an opportunity to get rich.”

• Also Read :
•   XRP Price to Hit New ATH? Traders Eye $3.55 Post SEC Verdict
• ,

What to Expect on Launch Day

Despite the temporary madness, Ripple has solid systems to ensure RLUSD stays pegged to $1. A reliable redemption mechanism allows the stablecoin to always be redeemed for its target price. If major price swings happen, arbitragers—traders who profit from price gaps—will step in to bring things back to normal.

With Tuesday’s launch approaching, all eyes are on RLUSD. While some bumps are expected in the beginning, Ripple is confident the price will settle quickly.

If you’re watching from the sidelines, remember: patience pays off. Stablecoins aren’t designed for quick profits, so avoid the hype and focus on the bigger picture.

FAQs