On July 9, Ripple announced a significant development in the cryptocurrency ecosystem by appointing BNY Mellon as the official reserve custodian for its enterprise-centric stablecoin, Ripple USD (RLUSD).
This decision stems from BNY Mellon’s extensive expertise in digital asset infrastructure and its trusted role in transaction banking services across the United States. The bank will oversee RLUSD’s cash reserves and provide critical support for Ripple’s operational needs through its integrated banking solutions.
Jack McDonald, Senior Vice President of Stablecoins at Ripple, highlighted that RLUSD fills a major void in financial tools tailored for enterprises. He emphasized BNY Mellon’s innovative mindset, labeling them a ‘forward-thinking partner’ capable of bridging the divide between traditional banking and decentralized finance.
Emily Portney, Global Head of Asset Servicing at BNY, shared similar sentiments, stating:
“As primary custodian for RLUSD, we’re proud to support the growth of digital assets by providing a differentiated platform, designed to meet the evolving needs of institutions in the digital assets ecosystem.”
This strategic collaboration with BNY Mellon follows Ripple’s partnership with AMINA Bank based in Switzerland, which now provides custody and trading services for RLUSD throughout Europe, reinforcing the stablecoin’s presence in regulated banking environments and attracting institutional and private clientele.
RLUSD Supply Soars Past $500 Million
The partnership with prestigious financial institutions seems to be catalyzing RLUSD’s growth trajectory.
Recent data from CryptoSlate indicates that RLUSD’s circulating supply has surged to over $501 million, less than a year post-launch.
Currently, approximately $435 million is operational on the Ethereum network, while around $65 million is operating on Ripple’s XRP Ledger.
This remarkable growth underscores the stablecoin’s rising significance, particularly within regulated financial ecosystems. RLUSD is pegged 1:1 to the US dollar and is backed by segregated reserves comprising cash and cash equivalents.
Approved by the New York Department of Financial Services in December 2024 and cleared by the Dubai Financial Services Authority this year, RLUSD is designed specifically for enterprise-level cross-border transactions, contrasting with many stablecoins aimed at retail use. It promises faster settlement times, lower transaction costs, and heightened efficiency.
