Gemini Burns $128M RLUSD on XRPL as Supply Falls

Gemini burned $128 million worth of Ripple USD (RLUSD) on the XRP Ledger on March 31. The move reduced RLUSD supply on XRPL and drew attention across the Ripple market. The two burns totaled $79 million and $49 million, according to data shared by XRPL validator Vet.

The Ripple news said the burn was part of a normal redemption process. In this process, a company returns stablecoins to the issuer and receives the same amount in fiat currency. The action does not by itself point to an unusual event. It shows how issuers and partners manage liquidity in stablecoin systems.

Ripple News: On-Chain Transfers Show the Gemini Redemption Path

On-chain data showed how the funds moved before the burn. A Gemini-linked address first sent $79 million in RLUSD at 2:15 PM UTC to the address identified as “rGp…qxA.” Eight minutes later, that address sent the same funds to “r3N…a64,” where the tokens were burned at 2:23 PM UTC.

Gemini repeated the same process later that day with another $49 million in RLUSD. The second transfer began at 5:32 PM UTC and followed the same route. The receiving address burned the tokens at 6:36 PM UTC. The two transactions formed the full $128 million redemption recorded on XRPL.

RLUSD Supply Falls on XRPL as Ethereum Gains

The latest burn added to a larger weekly pattern. Over the past week, RLUSD burns reached $233.8 million, while minting totaled $44 million. Of that minted amount, $30 million was issued on Ethereum and $14 million on XRPL. The gap between minting and burning reduced the available RLUSD supply on XRPL.

Soon after the XRPL burned, Ripple minted 10 million RLUSD on Ethereum at 9:14 PM UTC on March 31. Current supply data shows XRPL now holds about $189 million in RLUSD. Ethereum holds more than $1 billion worth of the stablecoin. RLUSD also moved from eighth to ninth place among stablecoins by market value at the time of reporting.

Recent Ripple news also revealed that Bitget Wallet has chosen the XRP Ledger as a core payment rail for its next-generation wallet infrastructure. The update gives users access to XRP and RLUSD mainnet transfers, as well as cross-chain swaps between XRP Ledger assets and tokens on other blockchains. Payments now account for about 53% of XRP Ledger activity, with RLUSD leading the network by transaction volume.

Liquidity Management Draws Questions Around Gemini

Large stablecoin burns often happen when companies settle positions, meet withdrawals, or adjust payment flows. In RLUSD’s case, the burn appeared to be tied to liquidity management rather than to a market disruption. Stablecoin issuers and partners use redemptions to match token supply with real demand across different networks.

The burn also led to discussion about Gemini’s financial position. Some XRP community members linked the move to insolvency rumors after public comments about Gemini’s reported 2025 net loss, its class-action lawsuit tied to its 2025 IPO, and restructuring under its “Gemini 2.0” plan. Even so, there is no confirmed insolvency. Gemini’s exchange remains active, users can still access funds, and no bankruptcy or receivership has been announced.

Ripple and Gemini had already worked together on RLUSD-related payment activity. In November 2025, Ripple said that Gemini, Mastercard, and WebBank were testing RLUSD for credit-card settlement on XRPL. That effort aimed to connect blockchain settlement with daily payment use. The latest redemption came months after that partnership became public.

The SEC also dropped its case tied to Gemini Earn after investors were repaid through the Genesis bankruptcy process. Based on the available facts, the RLUSD burn remains a standard redemption event within Ripple’s stablecoin network.