Ripple Partners with BNY Mellon for RLUSD Custody, Boosting Enterprise Adoption

Ripple has selected BNY Mellon to serve as the primary custodian for its stablecoin, Ripple USD (RLUSD). This partnership combines Ripple's digital innovation with BNY Mellon's extensive banking experience and regulatory credibility. The move is part of Ripple's broader strategy to drive the mass adoption of enterprise-grade stablecoins, which focus on speed, cost-efficiency, and cross-border payments.

RLUSD has recently surpassed $500 million in circulation, indicating a growing demand for stablecoins in the market. The stablecoin is built under the NYDFS Trust Company Charter, providing it with a strong regulatory foundation. This regulatory backing makes RLUSD an attractive option for large enterprises and financial institutions, which are increasingly exploring stablecoin solutions for their operations.

BNY Mellon will not only provide custody services but also handle core reserve operations supporting RLUSD. The bank's technology and regulatory expertise offer Ripple a robust infrastructure, enhancing the stability and reliability of RLUSD. This partnership is expected to strengthen RLUSD's appeal to large enterprises, aligning with their needs for secure and efficient transaction solutions.

Jack McDonald, SVP of Stablecoins at Ripple, highlighted BNY Mellon's digital asset infrastructure and custody experience as key factors in the partnership. Emily Portney, Global Head of Asset Servicing at BNY Mellon, emphasized the bank's commitment to developing comprehensive solutions for the digital asset ecosystem. The collaboration is set to increase RLUSD's operational scale through effective cash and reserve transfers.

This partnership bridges the gap between traditional finance and digital assets. BNY Mellon's 240-year legacy in banking complements Ripple's innovative approach to blockchain technology. The bank was among the first to support crypto services in 2021, reflecting its forward-thinking stance on digital assets. Caroline Butler, BNY Mellon's Global Head of Digital Assets, noted that stablecoins represent the evolution of money management, further underscoring the significance of this collaboration.

Ripple launched RLUSD in December 2024 on Ethereum and XRP Ledger, demonstrating its commitment to regulatory compliance and transparency. The company has also ended its legal cross appeal with the SEC, focusing on enterprise-scale solutions that meet all reserve and disclosure requirements. This strategic move with BNY Mellon is expected to enhance the security and institutional credibility of RLUSD, making it a more attractive option for enterprises and institutions seeking reliable and efficient transaction solutions.