Busy week for Ripple’s RLUSD: What changes for stablecoin holders?

Ripple’s RLUSD is gaining ground across institutional finance, with a major bank launching custody services, a new wallet integration making it easier for developers to build payments and agentic experiences on the network, and a brokerage platform planning to use the stablecoin for settlement. Together, the three developments mark another step forward connecting blockchain-based assets with traditional financial infrastructure.

For many years, cryptocurrencies and traditional finance were treated like two different worlds. Banks handled US dollars, bonds and traditional assets, while crypto exchanges handled digital tokens and coins.

However, that divide is narrowing. This week, three back-to-back events and developments helped bridge the gap, with new custody options, better wallet tools and a brokerage deal.

According to CoinGecko, Ripple USD’s (RLUSD) market capitalization stood around $2.41 billion on Thursday, up from $1.46 billion in early August. That represents an increase of approximately 65%. This growth highlights rising demand for the dollar-pegged stablecoin. Moreover, the latest institutional partnerships could open more room for adoption and expansion across payments, trading and financial settlement.

A major bank just made holding Ripple’s stablecoin a lot easier

The week began with one of the world’s largest international banks, Standard Chartered, announcing that it now supports institutional custody of RLUSD issued on the XRP Ledger (XRPL) through its Dubai International Financial Centre (DIFC) branch on Monday. This development shows how blockchain-based assets can integrate into the traditional financial system, including through established banking institutions.

This announcement means eligible institutional clients can now access RLUSD custody through a major regulated bank, instead of relying only on crypto exchanges or specialized custodians. For a new stablecoin, which was launched back in December 2024, that’s a big credibility boost.

Beyond custody, the bank is collaborating with Ripple and LMAX Group on a planned collateral integration. Under this arrangement, Standard Chartered intends to extend its collateral mirroring model to LMAX Group. This will be done by mirroring the value of eligible collateral to LMAX Group without requiring the underlying RLUSD to be transferred directly to the trading venue.

This arrangement is expected to give institutional clients greater flexibility in how they hold and deploy digital assets for trading, helping reduce transfer-related operational risk, optimize counterparty exposure and improve capital efficiency.

So far, the collateral part isn’t live yet as it still needs final documentation, successful testing and the necessary approvals. However, the custody service is up and running.

Privy partnership brings RLUSD-enabled programmable wallets

After the custody launch on Monday, Ripple announced a partnership with Privy, a wallet infrastructure company owned by Stripe, on Tuesday to bring programmable wallets to the XRP Ledger, enabling developers to build fintech applications and AI-agent payment solutions.

This lets builders easily add XRP Ledger wallets to their apps, and the wallets can handle XRP, RLUSD, and other assets on the network. This is not simply a wallet integration. It combines embedded stablecoin payments for consumer-facing applications with server-side wallets that let software agents hold and transact funds.

Moreover, this development could open new use cases for RLUSD in consumer payments, digital services and AI-driven commerce. However, it does not establish new RLUSD adoption volumes, institutional customers or actual payment activity.

DriveWealth adopts RLUSD for settlement and payments

Later on Wednesday, DriveWealth, a global Brokerage-as-a-Service platform, announced a partnership with Ripple to integrate RLUSD on the XRP Ledger into its planned stablecoin settlement infrastructure, cross-border payments, and digital asset custody.

The collaboration brings Ripple’s suite of blockchain solutions into DriveWealth’s brokerage infrastructure, creating a more unified experience across traditional and digital assets. 

DriveWealth clients are expected to be able to fund and manage their collateral accounts using stablecoins that convert to cash in near real time instead of waiting on a bank wire. The companies plan to start with settlement in Europe and plan to expand to the US.

Moreover, both companies are also exploring opportunities across equity financing through Ripple Prime’s Delta One business, which expands its institutional capabilities across US equities and equity derivatives.

These moves show Ripple is focused on making the stablecoin useful for real settlement, holding assets safely, and moving money faster.

Does RLUSD growth push XRP higher?

Not directly. RLUSD and XRP serve different purposes within Ripple’s ecosystem. RLUSD is a US dollar-backed stablecoin designed to maintain a value close to $1, while XRP is a floating-price cryptocurrency that serves as the native asset of the XRP Ledger.

The Santiment chart below shows this clear distinction. RLUSD’s market capitalization (red line) has climbed sharply since the end of July. Over the same period, XRP’s price (yellow line) has fallen. This divergence suggests that growing demand for RLUSD does not translate into buying pressure or activity for XRP.

However, RLUSD’s expansion could still benefit XRP indirectly. As more banks, financial institutions and trading firms adopt RLUSD on the XRP Ledger, the network activity and institutional engagement could increase. This may support deeper liquidity, additional applications and broader adoption of the XRPL ecosystem, potentially providing support for XRP.

Key takeaways for RLUSD holders

This week showed practical developments and use cases for RLUSD, not just big promises. A major bank is introducing custody services, developers are gaining easier access to programmable wallets, and a brokerage platform is integrating RLUSD into its settlement infrastructure.

If these partnerships move into real usage and transaction volumes, RLUSD could become a widely used option for institutions looking for faster, easier ways to move and manage digital dollars.

These developments may not have an immediate impact, but they could help build stronger adoption and utility for RLUSD over the long term.