- Ripple has partnered with BNY Mellon to provide custody for its new U.S. dollar-backed stablecoin, RLUSD.
- Ripple leadership highlights regulatory progress and growing institutional interest.
- BNY Mellon’s involvement signals increased trust in Ripple’s stablecoin strategy.
Ripple has announced a significant partnership with BNY Mellon, naming the 241-year-old banking institution as the official custodian of its newly launched stablecoin, Ripple USD (RLUSD).
The collaboration is being hailed by CEO Brad Grlinghouse as a major step in Ripple’s stablecoin strategy, designed to bridge the gap between traditional finance and the digital asset economy.
In an official press release, BNY Mellon confirmed its new role in providing custody and transaction banking services for RLUSD. The bank, which currently manages approximately $2 trillion in assets, stated that the arrangement will enhance interoperability between dollar-pegged crypto assets and traditional financial systems.
Ripple’s choice of BNY Mellon signals a strategic move to ensure institutional-grade security and infrastructure for its stablecoin, which is intended for enterprise-scale financial applications.
Ripple Executive Praises Collaboration
Jack McDonald, Ripple’s Senior Vice President of Stablecoins, emphasized the importance of the collaboration. He described RLUSD as a stablecoin engineered to meet the stringent standards of leading financial institutions.
Also Read: Ripple Taps BNY Mellon to Secure $43T Stablecoin Reserves for RLUSD Launch
McDonald praised BNY Mellon’s long-standing expertise in asset custody and its commitment to digital asset innovation, calling the bank “the ideal partner for Ripple and RLUSD.”
The announcement comes as Ripple continues to broaden its product ecosystem beyond cross-border payments. The introduction of RLUSD, backed 1:1 by U.S. dollars and short-term U.S. Treasuries, is aimed at addressing the growing demand for stable and transparent digital assets within regulated financial environments.
Brad Garlinghouse Speaks on the Partnership
In a recent interview with CNBC, Ripple CEO Brad Garlinghouse expressed optimism about the broader trajectory of the crypto industry. Garlinghouse cited the BNY Mellon partnership as a clear sign of changing sentiment among major financial institutions.
He noted that where the industry previously faced headwinds from regulatory uncertainty and skepticism, it is now gaining momentum due to increasing institutional interest and policy advancements.
Garlinghouse stated that BNY Mellon’s involvement reflects growing confidence in digital assets as part of mainstream financial portfolios. He also suggested that this partnership could mark a turning point for broader stablecoin adoption among banks, asset managers, and fintech platforms.
The news comes amid a broader shift in the stablecoin landscape, with U.S. lawmakers advancing regulatory frameworks such as the Clarity for Stablecoins Act and other market structure bills. These developments are fostering a more secure and structured environment for institutional adoption of crypto-linked assets.
Also, the partnership comes shortly after Garlinghouse appeared before the Senate Banking Committee to testify, calling for better and clearer crypto regulations to position the United States as the crypto capital of the world.
XRP Price Movement and Future Outlook
As Ripple deepens its position in the digital asset ecosystem, its flagship cryptocurrency XRP continues to show upward momentum. At the time of writing, XRP is trading at $2.44, reflecting a 4.78% increase over the last 24 hours.
While XRP is not directly tied to RLUSD, its performance often reflects market sentiment around Ripple’s broader initiatives. With BNY Mellon’s backing, Ripple’s foray into stablecoins may represent a major leap forward in merging blockchain infrastructure with traditional finance.
The partnership also reinforces the growing role that established banks are beginning to play in shaping the future of the digital asset industry.
Also Read: Ripple’s RLUSD Stablecoin Surpasses $500 Million, Enters Top 20 Rankings
