An assessment has emerged that XRP Ledger (XRPL) is shifting its focus from a payments-centered blockchain to a stablecoin trading network.

On Aug. 11, blockchain outlet The Crypto Basic reported that Jim Faraioli, head of crypto research at U.S. securities firm Charles Schwab, offered that diagnosis on the podcast “Thinking Crypto.”

Faraioli said major blockchains are becoming specialized for different purposes as the cryptocurrency industry reshapes. “Every network will find its role,” he said, citing Ethereum, Solana, Tron and XRP Ledger as examples.

He said Ethereum continues to hold an advantage as a general-purpose smart contract blockchain that carries tokenised real-world assets (RWA). Solana was classified as better suited to active trading demand on the back of high throughput. Tron was cited as a network focused on stablecoins. Faraioli added, “XRP Ledger is shifting from a kind of payments network to a stablecoin trading network.”

That assessment also aligns with recent changes in RLUSD supply. As of June, RLUSD supply on XRP Ledger was about $818.0 million, slightly above Ethereum’s roughly $793.1 million. Most of the supply at RLUSD’s launch in December 2024 was deployed on Ethereum, but the balance flipped as issuance increased on XRP Ledger and redemptions grew on Ethereum.

XRP Ledger has now become the network with the largest share of RLUSD supply. Faraioli’s description of a stablecoin-centered evolution is also reflected in the supply data. With stablecoins and tokenised assets gaining weight in financial markets, it also shows how institutional investors view XRP Ledger’s use cases.

The report also mentioned that the financial sector is testing multiple chains by purpose. Faraioli cited U.S. Depository Trust & Clearing Corporation (DTCC) cooperation with multiple blockchain networks including Stellar, saying financial institutions are reviewing different networks by use rather than placing all functions on a single chain.

He said the blockchain market will ultimately be consolidated around a small number of layer 1 (L1) networks. He drew a line under the idea that one chain could dominate all applications. Faraioli estimated that around 20 meaningful layer 1 networks could remain over time, but most industry activity could concentrate in the top 3 to 4 networks.

He also compared the process to the early internet market. Many competitors emerged in the early days of search engines and the internet industry, but over time a small number of players took market share. He said the cryptocurrency market has already entered a similar phase of consolidation, with some networks gaining share while others fail to attract activity.

Faraioli also addressed the market downturn. “A market freeze is painful, but it is also a necessary process,” he said, adding that it strips out excessive leverage and moves capital into stronger areas for long-term growth. As network differentiation and market reshaping proceed at the same time, whether XRP Ledger can expand its position as stablecoin trading infrastructure is expected to be a key point to watch.