Ripple taps BNY to secure RLUSD stablecoin with institutional-grade custody
The crypto company is seeking a national banking license from the US Office of the Comptroller of the Currency, aiming to enhance its regulatory framework and expand its crypto services.
Key Takeaways
- Ripple has chosen BNY Mellon as the primary custodian for RLUSD stablecoin reserves.
- RLUSD is designed for institutional-grade use, with full USD backing and strict reserve management.
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Ripple announced today it has selected the Bank of New York Mellon Corporation (BNY), the world’s largest custodian bank and securities services company, as the primary custody provider for Ripple USD (RLUSD) reserves.
The partnership aims to advance digital asset adoption at an institutional scale, bridging traditional finance and crypto.
The move comes as Ripple’s flagship stablecoin surpassed $500 million in market capitalization within seven months of its launch, per CoinGecko. Operating on both the XRP Ledger and Ethereum, RLUSD is now among the top 20 largest dollar stablecoins by circulating supply.
Last week, Ripple applied for a national banking license in the US, aiming to increase RLUSD’s regulatory oversight.
BNY will serve as the primary reserve custodian for RLUSD and provide transaction banking services to support Ripple’s operations.
“BNY brings together demonstrable custody expertise and a strong commitment to financial innovation in this rapidly changing landscape, as well as a forward-thinking approach to digital asset infrastructure, making them the ideal partner for Ripple and RLUSD,” said Jack McDonald, who oversees the strategic, product, regulatory, and go-to-market direction of Ripple’s stablecoin initiatives.
Commenting on the partnership with Ripple, BNY’s global head of asset servicing, Emily Portney, said the move reflects BNY’s strategy to enable the future of finance through trusted digital asset services.
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