Ripple’s stablecoin is getting a serious upgrade in trust and credibility now that Wall Street is officially involved.
Ripple has announced that BNY Mellon, the oldest bank in the U.S., will act as the primary custodian for its U.S. dollar-backed stablecoin, Ripple USD (RLUSD). This means BNY Mellon will now hold the reserves that back RLUSD, marking a big moment not just for Ripple, but for the growing stablecoin industry.
Great news! Here are the details.
This move gives Ripple a stronger position in the eyes of regulators and institutions, especially since BNY Mellon is known for working with large corporations and governments.
According to the companies, the partnership is aimed at improving regulatory compliance and boosting institutional confidence in RLUSD.
“As primary custodian, we are thrilled to support the growth and adoption of RLUSD by facilitating the seamless movement of reserve assets and cash to support conversions,” said Emily Portney, Global Head of Asset Servicing at BNY Mellon.
Ripple launched RLUSD in December 2024, and it’s already crossed a $500 million market cap. That’s fast growth, even in a space that moves quickly.
The stablecoin is fully backed 1:1 by cash and U.S. Treasuries, giving it the kind of security institutions expect. Ripple built RLUSD to work alongside its payment network and XRP token, and it’s now gaining traction in real-world use.
Yes, Ripple is also aiming to go deeper into traditional finance.
The company has applied for a national U.S. banking charter and a Federal Reserve master account, which would allow it to hold reserves directly with the central bank and use its payment rails.
That’s a big step for any crypto firm and shows Ripple’s focus on long-term integration with the financial system.
Ripple’s latest move is part of a wider trend now being called “Stablecoin Summer.” As the Trump administration eases crypto restrictions and Congress moves closer to passing stablecoin laws, institutional interest is rising.
Tech giants like Amazon, Walmart, Uber, Apple, and Airbnb are reportedly exploring stablecoin use cases. Ripple’s deal with BNY Mellon comes at a great time.
Adding to this, AMINA Bank, a licensed Swiss institution, is now offering custody and trading services for RLUSD. AMINA is regulated by FINMA and already serves institutional investors and corporations, giving RLUSD even more credibility on a global scale.
Clients can manage their RLUSD through AMINA’s secure mobile and desktop platforms, built on infrastructure trusted by banks worldwide.
With a major Wall Street partner onboard and momentum building, Ripple is positioning RLUSD as a serious contender in the stablecoin space.
The next milestone? Possibly a $1 billion market cap!
The involvement of BNY Mellon, known for working with large institutions and governments, significantly enhances RLUSD’s trust and credibility, especially with regulators.
RLUSD operates on the XRP Ledger and Ethereum, leveraging XRP for fast, low-cost cross-border payments. It acts as a stable digital cash for enterprises, complementing XRP in Ripple’s payment solutions.
While the article doesn’t explicitly state the effect on XRP’s price, BNY Mellon’s involvement legitimizes Ripple’s ecosystem, potentially boosting overall market sentiment for XRP due to increased institutional trust.
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