- Ripple has selected BNY Mellon to safeguard RLUSD reserves using cash and US Treasuries for greater security and trust.
- RLUSD is gaining momentum with approvals in New York, Dubai and Switzerland showing growing institutional confidence.
- The stablecoin supports fast low cost cross border payments and offers dual chain support on Ethereum and XRP Ledger.
Ripple has appointed BNY Mellon as the primary custodian for its U.S. dollar stablecoin, RLUSD. The move secures the token’s backing with cash and short-term U.S. Treasuries. It also strengthens transparency and operational confidence. The appointment includes custody and transaction banking services to support the stablecoin’s life cycle.
Custody and Liquidity
BNY Mellon will manage RLUSD’s reserve assets on a 1:1 basis with the U.S. dollar. The RLUSD reserves consist exclusively of cash and Treasury bills. The assets are held in segregated accounts and are audited on a third party basis.
This framework provides institutional-level security and liquidity. It also enhances the token’s redemption process and promotes confidence among users. RLUSD now operates with a higher standard of reserve protection.
Expansion in Regulated Markets
Ripple launched RLUSD in December 2024. It is issued under a New York Department of Financial Services Trust Company Charter. The stablecoin already received regulatory approval in Dubai earlier this year.
In Europe, Switzerland-based AMINA Bank became the first lender to offer custody and trading for RLUSD. These developments signal Ripple’s success in gaining institutional trust worldwide. The stablecoin is gaining ground in tightly regulated environments.
Designed for Enterprise Use
RLUSD targets enterprise users seeking cost-effective and fast international transactions. The token supports both Ethereum and XRP Ledger networks. With dual-chain functionality, RLUSD enables flexible cross-border operations. Its current market circulation has surpassed $500 million, confirming rising demand.
Ripple built the stablecoin for compliance and institutional integration rather than retail usage. RLUSD meets operational and regulatory standards required by large financial institutions.
BNY’s Growing Role in Digital Assets
BNY Mellon began servicing digital assets in 2021. It now plays a central role in managing stablecoin reserves and liquidity. The bank will support conversions during the minting and redemption of RLUSD. It also adds transaction banking capabilities to streamline the token’s operational processes. Ripple’s selection of BNY reflects a shift toward deeper integration between traditional finance and blockchain. Meanwhile, the bank recently disclosed that it holds more than $13 million in crypto ETFs.
Ripple’s strategy to build institutional trust includes collaboration with global financial leaders. This partnership brings stability to RLUSD as market demand for regulated stablecoins increases. Ripple has also applied for a national banking license in the U.S. and a Federal Reserve master account. These applications may allow RLUSD reserves to be held directly with the central bank.
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