Ripple provides $75M credit to Gemini, supporting its IPO plans and introducing RLUSD stablecoin amid trading volume decline and regulatory challenges.
Ripple has entered into a strategic partnership with Gemini, offering a $75 million credit line to support the exchange’s upcoming initial public offering (IPO). Announced on August 19, 2025, the transaction will give Ripple a greater presence in the crypto market and will offer Gemini the much-needed liquidity before it makes its Nasdaq debut with the ticker symbol of GEMI. The agreement also presents a new stablecoin by Ripple, RLUSD, which can be used as a borrowing option after Gemini accesses the credit facility.
Gemini Taps Ripple Credit Line as Trading Volumes Drop 20%
Gemini has recently registered its long-awaited IPO with the U.S. Securities and Exchange Commission (SEC), which reveals some notable financial backing by Ripple Labs. As stated in the filing, Gemini may raise the credit line of $75 million to $150 million, depending on its needs. The company organized the facility in tranches of not less than $5 million and set interest rates between 6.5% and 8.5%. Additionally, Ripple’s participation provides a lifeline to the Gemini exchange, which is on the verge of an initial public offering after the exchange reported massive losses.
Related Reading: Gemini Files for Nasdaq IPO, Taps Ripple for Credit Line | Live Bitcoin News
The alliance is timely as Gemini has experienced financial setbacks during the last few months. In the first semester of this year, the exchange reported a 20% fall in the volume of trading, citing market volatility and regulatory pressures. Besides, the operating expenses of Gemini have also gone up as it undertakes stricter compliance with legal actions in the past. The Ripple credit line is expected to shore up the exchange and increase investor confidence before the IPO, which has been set to take place at the end of 2025.
The support of Ripple does not end with funds, because the integration of RLUSD is a strategic step. The stablecoin holds its reserves in U.S. dollars and aims to provide stability in unstable markets. Additionally, its incorporation into the platform of Gemini may help Ripple in its global expansion, particularly in the case the exchange company manages to launch its IPO. According to industry analysts, this cooperation is an indication of the rising synergy among established crypto companies.
Ripple Backing Boosts Gemini IPO
The transaction has caught the attention of the entire crypto community, as most people view it as a show of confidence in the future of Gemini. Nevertheless, there are still obstacles, and the exchange will have to go through the regulations of the SEC and demonstrate its financial rebound. Moreover, market acceptance and regulatory approval may take months to get, and that will be a determining factor in the success of the adoption of RLUSD.
In the future, this alliance will transform the competitive environment of exchanges related to cryptocurrencies. The support of Ripple can give Gemini the solid ground to reestablish itself, and the launch of RLUSD can help attract new customers to both sides. With the IPO on the horizon, everyone will be watching how Gemini will perform and take advantage of this financial backing. In the meantime, Ripple remains to establish its position in the market, preconditioning the further development of the crypto industry.
