Ripple Targets Africa to Challenge USDT Dominance with RLUSD

• Ripple Launches RLUSD in Partnership with African Fintechs
• Stablecoins already represent 43% of transactions in the region
• USDT dominates, but Ripple seeks space with new use cases

Ripple has identified Africa as a strategic market to expand the use of its dollar-backed stablecoin RLUSD. On September 4, the company announced partnerships with fintechs Chipper Cash, VALR and Yellow Card, with the aim of expanding the token's accessibility across the continent.

The move reinforces Ripple's intention to position RLUSD as a practical tool for payments, settlements, and financial solutions in regions where banking infrastructure is limited. In addition to commercial integration, the company already uses the stablecoin in social projects.

In Kenya, RLUSD is used in agricultural drought insurance programs. The model holds funds in escrow accounts and automatically releases payments to farmers when satellite data indicates severe rainfall shortages. Another pilot applies the same concept to floods, ensuring rapid payments to affected communities. Both projects use smart contracts to provide transparency and speed to operations.

Jack McDonald, Ripple's senior vice president of stablecoins, highlighted that the asset has been gaining institutional traction.

“We are seeing demand for RLUSD from our clients and other key institutional players globally and are excited to begin distribution in Africa through our local partners.”

He stated.

Since its launch in early 2025, RLUSD has surpassed $700 million in market capitalization, solidifying its position as one of the emerging stablecoins in the sector.

Recent studies show the size of the opportunity. According to research According to Yellow Card, stablecoins accounted for 43% of crypto transaction volume in Sub-Saharan Africa. The International Monetary Fund estimated that flows of these assets reached 7% of the region's GDP in 2024.

Currently, Tether's USDT dominates the African market, processing more than half of transactions. With Ripple's advance, competition among stablecoins is likely to intensify, especially in markets seeking secure alternatives for international payments and access to hard currency.