Bybit’s RLUSD bet: Chasing stablecoin liquidity under regulatory pressure
Bybit, the world’s second-largest exchange by trading volume, has launched a limited-time $RLUSD Hold & Earn program with higher annual percentage rates and no maker fees on spot pairs. The goal is blunt: pull more $RLUSD onto the exchange and grab a larger share of the stablecoin market. It may work. My take: traders follow cheap fees and easy yield—but only until the deal disappears.
The program’s official name is “Bybit Launches RLUSD Hold & Earn with Zero Maker Fees, Pushing Stablecoin Yield Competition.” It targets investors who want a return on idle stablecoins without stepping into DeFi. Bybit already lists $RLUSD, and eligible users can now lock their tokens at a higher rate. Market makers pay no maker fees on $RLUSD spot pairs, which may tighten spreads. It could also deepen the order books. The catch? Bybit calls the offer limited-time but has not announced an end date.
Centralized exchanges have fought over stablecoin deposits for years, even if the contest barely registers outside crypto trading circles. Binance, Coinbase, and Bybit all offer yield on dollar-pegged tokens. $RLUSD is newer and lacks the liquidity of its larger rivals, making it an obvious target for Bybit. The exchange is combining deposit yield with cheaper trading. Simple enough. More deposits can produce more trades, and some activity may spill into other pairs. On-chain real-world assets have also passed $20 billion. Why does this matter? Because exchanges now have another concrete reason to influence which stablecoins traders use for collateral and settlement.
The zero maker fees may matter more than the advertised yield. Most promotion copy puts the rate front and center. That is only half right. Market makers operate on narrow margins, so a small fee change can decide where their algorithms place orders. Bybit appears to be betting on exactly that calculation: professional trading desks deposit $RLUSD, collect the promotional rate, then trade on Bybit rather than another venue. This is an adoption signal, but a modest one. I’ll be honest: subsidized order flow is not organic demand. Exchanges have long paid for institutional order flow when the resulting volume justified the expense. Bitcoin ETFs attracted billions once regulated access became easier; Bybit is attempting a much smaller version of that approach with a stablecoin.
Stablecoin yield is no longer confined to DeFi. Bybit places similar rewards inside a custodial account, which many users will find easier. The trade-off is self-custody. The exchange has not disclosed the exact “boosted” APR, and that omission matters because these promotions often depend on temporary subsidies. The higher rate could vanish when the campaign finishes. Is that the only risk? No. There is also regulatory pressure. The US Senate is debating stablecoin rules, and new legislation could determine whether regulators treat these products as securities or deposits—or put them in some other category. A different classification might force exchanges to alter or remove their offers. Kraken and Coinbase have already changed their staking services while contesting similar issues with the SEC. Counter to the usual “stablecoins are simpler” pitch, stablecoin yield may run into the same trouble.
Bybit is betting that $RLUSD users will leave funds on the platform after the promotion ends. Two figures should show whether that happened: campaign deposits and order-book depth once the rewards stop. The second figure is stronger. Promotional capital tends to arrive quickly and leave just as fast. I would not call a deposit spike a win by itself. If trading in $RLUSD remains active after standard fees return, however, Bybit may have secured lasting business. Its competitors will notice.
What this means
Bybit is willing to subsidize $RLUSD liquidity to gain market share. That says more than the campaign language. Stablecoins serve as trading inventory and collateral. They also sit as interest-bearing balances, so exchanges want users to keep them on-platform. Removing maker fees could help a newer token build a usable market instead of surrendering almost all stablecoin trading to $USDT and $USDC. My take: that is the real experiment here. Competition may push issuers toward better reserve disclosures. It may also give users practical reasons to hold their coins. Then again, yes, that sounds more optimistic than my earlier warning—because the other outcome is just as plausible: a procession of promotions that fades when the subsidies dry up.
Investors should track the money entering Bybit’s $RLUSD Hold & Earn program, then compare it with trading activity on the spot pairs. A large inflow would confirm that the incentive attracted capital. It would not prove durable demand. The real test starts after the offer expires. If volume remains steady, other exchanges may repeat the tactic with smaller stablecoins. US legislation adds another uncertainty: Senate Banking Committee proposals expected in Q3 or Q4 could reshape how Bybit and its competitors structure these rewards, particularly if lawmakers impose new requirements for reserves and custody. Yield payments could face separate requirements. We should not confuse early volume with permanence.