Analyst Highlights How RLUSD Integration Could Supercharge Cardano’s DeFi Ecosystem

A prominent market analyst has shared compelling insights into what Cardano could gain if RLUSD, the rising stablecoin, were to join its ecosystem. The speculation follows Cardano founder Charles Hoskinson’s confirmation that his team is already in talks with RLUSD developers.

During a livestream on May 24, Hoskinson revealed that they had held initial discussions about launching RLUSD on the Cardano blockchain by the end of the year. The news sparked optimism within the community, with many now debating the real impact of bringing RLUSD into the Cardano network.

Analyst Sees Major Market Shifts Ahead

Amid this backdrop, crypto trader Merlijn The Trader weighed in with his perspective on X. He outlined three critical benefits Cardano could reap if the integration becomes a reality.

In his post, Merlijn argued that RLUSD’s addition would bring in new liquidity providers, significantly boosting market depth and trading volume across Cardano-based decentralised exchanges. Stablecoins play a vital role in DeFi ecosystems by serving as reliable trading pairs and collateral assets. Thus, increased liquidity would result in smoother trades, tighter spreads, and a more vibrant DeFi landscape.

Massive offer from Cardano’s founder:
Integrate $RLUSD into the $ADA DeFi ecosystem at no cost.
This opens the door to:
– New LPs
– Extra yield
– Cross-chain DeFi plays
If this gets executed…
LPs flood in. TVL spikes. DeFi on @Cardano_CF levels up. pic.twitter.com/Z7ssSB5mCZ
— Merlijn The Trader (@MerlijnTrader) June 30, 2025

Yield Farming Opportunities Could Expand

Merlijn also predicted that RLUSD’s entry would expand yield farming opportunities for Cardano users. By powering new pools, staking options, and lending markets, RLUSD could unlock diverse earning streams. Users could diversify their portfolios and tap into higher-yield mechanisms that keep capital circulating within the network.

The analyst believes this could be a turning point for Cardano’s DeFi scene, which, while growing steadily, still trails behind major competitors in total value locked (TVL).

The third benefit Merlijn highlighted is the potential for enhanced cross-chain DeFi strategies. If RLUSD is deployed using advanced routing protocols like LayerZero, Cardano users could access assets and protocols from other blockchains without ever leaving the Cardano ecosystem.

This level of interoperability would make Cardano more competitive by attracting builders and liquidity from multiple chains. It could also drive capital efficiency and innovative DeFi solutions that appeal to both retail and institutional investors.

What the Numbers Say

Currently, Cardano’s TVL stands at around $244.44 million, according to DeFiLlama data. Meanwhile, its stablecoin market cap stands at just over $31 million, a modest figure compared to larger ecosystems. Integrating a proven stablecoin like RLUSD could lift both figures by incentivising more deposits and broader participation in DeFi projects.

Interestingly, Hoskinson has also proposed a privacy-focused stablecoin for the Cardano blockchain. In May, he argued that many users want more confidentiality than public blockchains provide. His vision includes a “selective disclosure and seasonal freeze regime” that could appeal to privacy-minded DeFi users.

While this concept is still in the early stages of discussion, it highlights Cardano’s focus on pushing the boundaries of what stablecoins can offer in the blockchain space.

What’s Next for RLUSD and Cardano

As negotiations continue, the Cardano community eagerly awaits updates on whether RLUSD will join its ecosystem. A successful integration could inject fresh momentum into Cardano’s DeFi ambitions, strengthen its liquidity pools, and attract a wave of developers and new users.

Disclaimer: The information in this article should not be considered financial advice, and FXCryptoNews articles are intended only to provide educational and general information. Please consult with a financial advisor before making any investment decisions.