Standard Chartered launches institutional custody for Ripple's RLUSD stablecoin
Standard Chartered has launched institutional custody for Ripple's RLUSD stablecoin on the XRP Ledger through its Dubai branch, alongside plans to enable the asset as trading collateral on LMAX Group.
Standard Chartered announced that eligible institutional clients can now hold Ripple's RLUSD stablecoin issued on the XRP Ledger through its Dubai International Financial Centre branch. The custody service operates under regulatory oversight from the Dubai Financial Services Authority.[6][2][3]
The roll-out forms part of a wider collaboration with Ripple and trading firm LMAX Group to utilize RLUSD as trading collateral under a collateral mirroring framework. Under the planned mechanism, the bank will mirror the value of held stablecoins directly to LMAX, allowing institutional traders to support margin positions without transferring the underlying assets out of banking custody. The companies noted that the collateral feature remains subject to final technical testing, documentation, and regulatory approvals.[6][1][5][7]
The institutional initiative follows a multiyear agreement where Ripple committed $150 million in financing to integrate RLUSD into LMAX infrastructure across spot and derivatives products. According to DeFiLlama data reported by CryptoSlate, RLUSD circulating supply has expanded to around $2.4 billion, comprising $1.14 billion on the XRP Ledger and $1.3 billion on Ethereum.[6][4]
Key facts
- Standard Chartered introduced institutional custody for RLUSD issued on the XRP Ledger through its branch in the Dubai International Financial Centre.
- The custody offering is regulated by the Dubai Financial Services Authority.
- Standard Chartered is working with Ripple and LMAX Group to enable RLUSD as trading collateral under a collateral mirroring model.
- Ripple previously provided LMAX Group with $150 million in financing to integrate RLUSD across its trading platforms.
- DeFiLlama figures place RLUSD's total circulating supply at roughly $2.4 billion, with approximately $1.14 billion on the XRP Ledger and $1.3 billion on Ethereum.
- The operational launch of the collateral mirroring setup is pending internal approvals, testing, and regulatory clearance.
Sources · 7 sources
- CN
crypto.news@cryptodotnewsPost on X ·
JUST IN: Standard Chartered launches institutional custody for Ripple’s RLUSD on the XRP Ledger The service is available through its DIFC branch, while the bank, Ripple and LMAX Group are working to make $RLUSD eligible collateral under a collateral mirroring model. https://t.co/E5dm9nmEr8
Open source - TB
The Block@TheBlockCoPost on X ·
THE BLOCK: Standard Chartered has launched institutional custody for Ripple USD on the XRP Ledger, available through its DIFC branch. The bank is also working with Ripple and LMAX Group to enable ethereum:0x8292bb45bf1ee4d140127049757c2e0ff06317ed as eligible collateral under its collateral mirroring model.
Open source - CO
CoinDesk@CoinDeskPost on X ·
NEW: @StanChart adds custody for $RLUSD on the XRP Ledger in Dubai, allowing institutional clients to use $RLUSD as collateral on LMAX Group’s trading platform. https://t.co/2NuGwIZP3b
Open source - CO
CoindeskArticle ·
Standard Chartered offers RLUSD custody in Dubai and plans LMAX collateral link Ripple previously gave LMAX $150 million in financing to integrate RLUSD into its institutional infrastructure.
Open source - TB
The BlockArticle ·
Standard Chartered launches custody for Ripple’s RLUSD on XRP Ledger The bank is working with Ripple and LMAX Group to enable RLUSD as collateral for certain LMAX products under its collateral mirroring model.
Open source - CR
CryptoSlateArticle ·
Standard Chartered brings Ripple’s RLUSD into banking custody after $765 million quarterly surge Standard Chartered has launched custody for Ripple's RLUSD stablecoin as it prepares to expand its use as collateral for institutional trading. On Oct. 12, the bank announced that eligible institutional clients can now hold RLUSD issued on the XRP Ledger (XRPL) through its Dubai International Financial Center branch, regulated by the Dubai Financial Services Authority. The launch forms part of a broader arrangement with Ripple and trading group LMAX that would allow institutions to use RLUSD as collateral while keeping their stablecoin holdings with Standard Chartered. Under the proposed model, the bank would mirror the value of eligible RLUSD holdings to LMAX, enabling clients to support trading positions without transferring the underlying tokens directly to the venue. The arrangement could reduce counterparty exposure and operational risks associated with moving assets between custodians and exchanges, while allowing institutions to deploy capital across trading activities. Ripple expands RLUSD's institutional reach after rapid supply growth The development comes as RLUSD emerges as one of the fastest-growing stablecoins by absolute market value added, reflecting Ripple's efforts to expand its use across financial markets. According to RWA Foundation , Ripple recorded the second-largest increase in stablecoin market capitalization during the third quarter, adding $765.3 million over 90 days. Only Circle's USDC posted a larger increase, $915 million, while United Stables ranked third at $474.2 million. Stablecoin Market Growth by Issuer (Source: RWA Foundation) Data from DeFiLlama shows RLUSD's total circulating supply has since climbed to about $2.4 billion, with about $1.14 billion issued on XRPL and another $1.3 billion on Ethereum . Related Reading XRPL's $1.34 billion stablecoin base doesn't tell us how much XRP users need The expansion gives Ripple a larger pool of dollar-denominated tokens as it seeks to establish RLUSD beyond payments and transfers , including as collateral for institutional trading. That effort gained momentum in January when Ripple and LMAX announced a multiyear partnership to integrate RLUSD across the trading group's infrastructure. Ripple committed $150 million in financing to support LMAX's expansion, with the agreement targeting RLUSD adoption across spot cryptocurrency trading, perpetual futures, contracts for difference, and other institutional products. Standard Chartered's involvement adds a traditional banking custody channel to the arrangement, allowing participating institutions to maintain custody arrangements with the bank while accessing LMAX's trading infrastructure. Waqar Chaudry, Standard Chartered's global head of digital assets in Securities Services, said institutional investors increasingly want to participate in digital asset markets without compromising asset safeguarding and risk management. For Ripple, accepting RLUSD as trading collateral could drive additional demand from banks, brokers, and investment firms that need dollar-denominated assets to support their positions. However, the commercial impact will depend on how widely institutions adopt the arrangement and which LMAX products ultimately accept the stablecoin. Standard Chartered has not disclosed the amount of RLUSD held in custody or identified participating institutional clients. The companies have also not announced when the collateral integration will become operational. Implementation remains subject to final documentation, technical testing, regulatory requirements and internal approvals across relevant jurisdictions. Those remaining steps will determine when institutions can begin using RLUSD held at Standard Chartered to support trading positions on LMAX. The post Standard Chartered brings Ripple’s RLUSD into banking custody after $765 million quarterly surge appeared first on CryptoSlate .
Open source - BS
BSCN@BSCNewsPost on X ·
Standard Chartered Opens a New Door for Ripple's RLUSD Standard Chartered (@StanChart) has begun offering institutional custody for Ripple’s (@Ripple) dollar-backed ethereum:0x8292bb45bf1ee4d140127049757c2e0ff06317ed stablecoin. The bank is also is exploring a collateral arrangement for RLUSD with trading platform LMAX Group. The proposed scheme involves maintaining client tokens in the custodian bank and using the underlying value as trading collateral. Such a scheme would help eliminate counterparty risk during transfers and be capital-efficient for institutional clients. Collateral plans still need to be agreed upon, tested, and approved.
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