Crypto payments solutions firm Ripple on Wednesday said it has selected The Bank of New York Mellon Corporation (BNY) as the primary reserves custodian of Ripple USD (RLUSD) stablecoin. The move comes as RLUSD surpassed a $500 million market cap amid growing institutional demand for the stablecoin.
Ripple Partners With BNY Mellon for RLUSD Reserves Custody
In a press release on July 9, Ripple disclosed its new partnership with The Bank of New York Mellon Corporation to custody RLUSD reserves. The companies aim to boost digital asset adoption by institutions, connecting traditional finance and crypto.
Ripple is going to utilize BNY transaction banking services to support its operations and deliver solutions to its clients. BNY holds over $53 trillion in traditional assets under custody, as well as clears and settles over $2 trillion in payments every day.
“Ripple USD addresses a critical gap in the market as a stablecoin developed for enterprise-grade financial use cases, designed to meet the rigorous standards of leading financial institutions,” said Jack McDonald, SVP of Stablecoins at Ripple.
Notably, Sandie O’Connor serves on the board of Ripple and is a board member of BNY Mellon, according to her LinkedIn profile.
Ripple CEO Brad Garlinghouse took to X and revealed how traditional banking giants like BNY Mellon are exploring crypto amid regulatory clarity.
Ripple’s Growing Partnerships
RLUSD stablecoin’s market cap has surpassed $500 million as it builds partnerships globally. Recently, it partnered with Swiss crypto bank AMINA for RLUSD custody and trading, as well as OpenPayd for RLUSD minting and burning.
Moreover, Ripple CEO Brad Garlinghouse revealed that the company has applied for a national bank license with the banking regulator OCC. Earlier, its subsidiary Standard Custody applied for the Federal Reserve’s master account.
Ripple Payments has near-global coverage with more than 90 payout markets representing more than 90% coverage of the daily FX markets, processing more than $70 billion in volume.
The XRP price jumped after the BNY custody announcement to extend the 24-hour gain to nearly 4%, with the price currently trading at $2.38 at the time of writing. The 24-hour low and high are $2.28 and $2.38, respectively.
Also Read: Ripple’s RLUSD Stablecoin Surpasses $500M in Market Cap
