The Uphold cryptocurrency exchange has added the RLUSD stablecoin to its trading platform, boosting Ripple’s credibility and promoting the product’s adoption and other products associated with the FinTech company.
In a recent podcast, Uphold CEO Simon Mcloughlin explained the crypto exchange’s recent moves in listing the stablecoin, highlighting the reward program, allowing users to earn 5% of their RLUSD deposit from January 2025.
Further, McLoughlin stated the RLUSD reward program is the latest in a line of stablecoin-related earning opportunities that Uphold offers. Registered users on Uphold must log in at least once a month and perform designated activities to qualify for the reward.
Meanwhile, the Uphold CEO explained that the reward is a marketing strategy the company uses to engage its users and encourage them to be active on the platform. The exchange generates the funds for the reward from its balance sheet by allocating part of its marketing budget to the “earn program” to promote awareness and increase adoption of the exchange.
Read also: Ripple Launches RLUSD: A Compliant Alternative to Tether
On a crucial note, McLoughlin noted that people transact more when they hold a significant amount of stablecoins in their portfolio. This is the basis of the Uphold reward strategy, which pays users in stablecoins. This differs from other platforms that prefer to reward users with their native tokens. As a result, while Uphold spends money to reward its users, it potentially generates more revenue from increased customer activity.
According to McLoughlin, Uphold currently supports ten stablecoins but offers rewards on only four. The Uphold CEO considers the RLUSD a good example of a properly designed stablecoin with adequate regulation and compliance. McLoughlin’s confidence in the Ripple product boosts the FinTech firm’s credibility among crypto community members. It makes them more confident about engaging Ripple products, including its native cryptocurrency, XRP, which has faced regulatory scrutiny for several years.
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