Summary ⚈ 12 million RLUSD were burned on April 22 in a record transaction. ⚈ The burn was part of a cross-chain transfer from XRP Ledger to Ethereum. ⚈ RLUSD supply moved for liquidity reasons, not due to a deflationary mechanism change. At 11:05 PM UTC on April 22, the largest Ripple USD ( RLUSD ) burn thus far occurred. To be precise, data retrieved by Finbold from Xrpscan shows that 12,000,000 units of the Ripple stablecoin were burned. Ripple stablecoin burn transaction details. Source: Xrpscan RLUSD uses the same burn mechanism that XRP does — a small fee, to the tune of 0.00001 units of the token, is permanently removed from circulation. Obviously, this burn is a stark departure from that. However, this doesn’t mean that the Ripple stablecoin has switched to a new model of supply management. What really happened with the Ripple stablecoin burn A short, succinct, and simple explanation was given by pseudonymous XRP dUNL validator Vet in an April 23 X post . Namely, RLUSD is minted to provide liquidity on customer requests — conversely, it is also burned in the same manner. This is the largest burn of $RLUSD on the XRP Ledger since the launch of RLUSD. 🔹Minting issues RLUSD on customer request -> liquidity on ramp to the XRPL. 🔹Burning redeems RLUSD on customer request -> liquidity off ramp from the XRPL. tldr – someone off ramped 12M USD out. https://t.co/lrtwFbqFrk — Vet (@Vet_X0) April 22, 2025 Shortly after, 12,000,000 RLUSD were minted. However, those newly minted tokens were on the Ethereum ( ETH ) blockchain, unlike the previous batch, which was on the XRP ledger. RLUSD reminted on the Ethereum blockchain. Source: Etherscan In essence, a user with a large holding of tokens decided to transfer their Ripple stablecoins from one network to another — and the “burn” was more of a liquidity bridge. While RLUSD has not introduced a new deflationary mechanism, supply and demand dynamics are generally not as important as they usually are with stablecoins, which are not a preferred speculative investment. With everything said and done, however, the largest cross-chain transfer since the Ripple stablecoin’s launch still represents both a significant milestone. Featured image from Shutterstock The post Ripple stablecoin burn rate skyrockets appeared first on Finbold .