Binance's Zero-Fee Gamble: Can Ripple's RLUSD Overtake USDT and USDC?

Binance’s zero-fee trading pairs for Ripple’s RLUSD stablecoin could trigger a liquidity flywheel, but the $1.4 billion stablecoin faces a $5.1 billion gap to displace Ethena’s USDe and crack the top three.

The exchange’s 2023 USDC re-listing boosted its market share from 60% to 90%, suggesting a proven playbook—but RLUSD’s success hinges on more than just trading volume.

Ripple’s institutional infrastructure—New York DFS charter, conditional OCC approval, and $4 billion in acquisitions—positions RLUSD as a custody-ready asset.

Binance plans to expand utility via margin eligibility and yield incentives, aligning with Treasury and JPMorgan forecasts of $3 trillion and $2 trillion in stablecoin market size by 2030 and 2025, respectively.

Yet the risk remains: High trading volume without balance-sheet adoption could leave RLUSD as a “cheap rail” rather than a “held asset.” The stablecoin’s $1.4 billion circulating supply must grow 360% to challenge USDe’s $6.47 billion, a threshold that will test whether Binance’s subsidy-driven growth translates to durable adoption.

Look, the zero-fee strategy is a high-stakes chess move. If RLUSD becomes a default on-ramp for XRP trading, it could leverage Binance’s 130 million users as a distribution engine. But without broader institutional custody uptake, the stablecoin risks becoming a short-term liquidity magnet rather than a long-term store of value.

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