Ripple has recently announced a significant partnership with BNY Mellon, naming the financial giant as the official reserve custodian for its business-oriented stablecoin, Ripple USD (RLUSD). This collaboration underscores BNY Mellon’s deep expertise in digital asset infrastructure and its status as a trusted transaction banking provider in the United States, tasked with managing RLUSD’s cash reserves and enhancing Ripple’s operational efficiencies with comprehensive banking solutions.
Jack McDonald, Ripple’s Senior Vice President of Stablecoins, highlighted RLUSD’s role in filling a crucial void in enterprise-grade financial instruments. McDonald lauded BNY Mellon for its innovative approach and ability to seamlessly connect conventional finance with the decentralized finance sector. Echoing these sentiments, Emily Portney, BNY’s Global Head of Asset Servicing, expressed pride in their role as RLUSD’s primary custodian, aiming to foster the growth of digital assets through a unique platform tailored for the institutional needs of the digital asset ecosystem.
A notable stride in Ripple’s endeavors was its partnership with AMINA Bank in Switzerland, expanding RLUSD’s reach within regulated banking environments in Europe, thus broadening its appeal to both institutional and private clients.
### Ripple USD’s Circulation Hits a New Milestone
Ripple’s strategic partnerships have catalyzed a significant growth in RLUSD’s circulation, pushing its total supply beyond $501 million in less than a year since its inception. A substantial portion of this, approximately $435 million, is circulated on the Ethereum network, with the remainder, about $65 million, held on Ripple’s own XRP Ledger.
This surge underscores the stablecoin’s escalating significance in regulated financial circles, supported by its 1:1 pegging to the US dollar and a segregated reserve of cash and cash equivalents. Regulatory nods from the New York Department of Financial Services in December 2024 and the Dubai Financial Services Authority earlier this year have further bolstered RLUSD’s position. Unlike other stablecoins primarily designed for retail use, RLUSD sets itself apart by catering to enterprise-level cross-border transactions, promising quicker settlements, reduced costs, and heightened efficiency.
Tweet: Ripple’s RLUSD stablecoin reaches a circulating supply of over $500M, backed by major partnerships including BNY Mellon as its custodian. A significant leap forward in bridging traditional and decentralized finance. #Ripple #Stablecoin #DigitalFinance
