Ripple Selects BNY Mellon as Official Reserve Custodian for RLUSD Stablecoin
In a recent announcement on July 9th, Ripple revealed that it has appointed BNY Mellon as the official reserve custodian for its enterprise-focused stablecoin, Ripple USD (RLUSD). This strategic partnership aims to enhance the management of RLUSD’s cash reserves and support Ripple’s operational needs through integrated banking solutions.
BNY Mellon, a trusted provider of transaction banking services in the US, was chosen based on its extensive experience in digital asset infrastructure. The bank’s role as a reliable custodian for digital assets makes it a perfect fit for managing RLUSD’s reserves. Jack McDonald, Ripple’s Senior Vice President of Stablecoins, praised BNY Mellon’s expertise and commitment to innovation, highlighting the bank as a forward-thinking partner capable of bridging traditional and decentralized finance.
Emily Portney, Global Head of Asset Servicing at BNY Mellon, echoed McDonald’s 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 collaboration with BNY Mellon follows Ripple’s partnership with AMINA Bank in Switzerland, which offers custody and trading services for RLUSD in Europe. This integration has expanded RLUSD’s reach among institutional and private clients, positioning it as a viable option for regulated banking environments.
RLUSD’s circulating supply has surpassed $500 million, indicating a significant uptick in its adoption within the market. Data from CryptoSlate shows that over $435 million is currently on the Ethereum network, with an additional $65 million residing on Ripple’s XRP Ledger.
The stablecoin’s peg to the US dollar and its backing by a segregated reserve comprising cash and cash equivalents have contributed to its growing relevance, particularly in regulated environments. Approved by the New York Department of Financial Services in December 2024 and cleared for use by the Dubai Financial Services Authority this year, RLUSD offers faster settlement, lower costs, and improved efficiency for enterprise-level cross-border transactions.
In conclusion, Ripple’s partnership with BNY Mellon and its continued expansion into regulated banking environments signal a promising future for RLUSD as a stablecoin tailored for enterprise-grade financial transactions. With a growing circulating supply and increasing adoption, RLUSD is poised to become a staple in the digital assets ecosystem.