XRP Surges as Ripple Partners with BNY Mellon to Safeguard Its Game-Changing Stablecoin

Ripple just handed Wall Street a masterclass in crypto adoption—and XRP holders are cashing in.

The blockchain giant tapped BNY Mellon, the 240-year-old custody titan, to secure its upcoming stablecoin. No more 'wild west' jokes—this is institutional-grade trust on a distributed ledger.

Market reaction? XRP ripped 12% in 3 hours. Because nothing excites traders like a legacy finance name slumming it in DeFi.

One problem solved: crypto’s custody paradox. Banks won’t touch digital assets without ironclad safeguards. Now they’ve got a $46 trillion custodian holding the keys.

The twist? Ripple’s playing both sides. Disrupting cross-border payments while cozying up to the very institutions it could obsolete. Classic ‘if you can’t beat ‘em, charge them enterprise fees’ strategy.

Closing thought: When BNY Mellon starts storing stablecoins, maybe—just maybe—your Boomer uncle will stop asking if crypto is ‘backed by nothing.’ (Spoiler: He’ll still ask.)

Ripple Chooses a Familiar Face in Finance

There’s no question BNY Mellon brings weight to the table. As the oldest U.S. bank and one of the biggest custodians globally, it’s a name that institutions recognize and trust. Partnering with BNY Mellon isn’t just a technical choice; it’s a clear statement that Ripple wants its stablecoin to be taken seriously by traditional financial players.

Ripple is the TIP OF THE SPEAR!

Understanding Comms Matter.

Ripple CEO Brad Garlinghouse testified at the Senate Banking Committee Hearing today.

BNY Mellon announces their custody of RLUSD.

BNY Mellon will have custody of Ripple’s new stablecoin as… pic.twitter.com/q3VlJFaIkJ

— Paul WHITE Gold Eagle (@PaulGoldEagle) July 11, 2025

According to Schwartz, the stablecoin will be fully backed by U.S. dollars and short-term treasuries, with regular audits to keep things transparent. That formula sounds familiar, but Ripple is aiming to stand out by tapping into its network of global partners, especially those already using its payments infrastructure.

XRP Gets a Boost

XRP’s price ticked up following the news. That reaction might seem like a stretch since the stablecoin is separate from XRP, but the two are often viewed as reflections of Ripple’s overall momentum. Whenever Ripple makes a big move, XRP tends to follow.

The stablecoin is expected to complement XRP rather than compete with it. Schwartz mentioned that XRP will continue to anchor Ripple’s On-Demand Liquidity product, while the stablecoin opens up new ways to handle settlement and corporate treasury functions. It could also help smooth out situations where clients want less exposure to price swings but still want the speed and flexibility of blockchain payments.

The Bigger Picture for Stablecoins

Ripple entering the stablecoin game is already newsworthy, but doing it with a legacy player like BNY Mellon changes the dynamic. Stablecoin projects often face questions about reserves, trust, and compliance. Ripple is trying to get ahead of that by bringing in one of the most established names in custody to manage the backing assets.

This MOVE also reflects a broader trend: stablecoins are no longer just for crypto-native use cases. They’re making their way into finance departments, cross-border payments, and even government conversations. Ripple sees an opportunity to step into that space with a product that plays by the rules but still offers speed and efficiency.

What to Expect Next

Ripple aims to roll out the stablecoin later this year, assuming final testing and approvals go smoothly. There may be more announcements coming too, as the company hinted at further partnerships beyond BNY Mellon. Schwartz made it clear that the goal isn’t to fight for dominance but to offer a reliable tool for enterprise-grade use.

For XRP watchers, this is another sign that Ripple is expanding its reach. Whether or not the stablecoin grabs market share quickly, the strategy behind it shows Ripple is still very much in the game and looking to play on a bigger field.

Key Takeaways

• Ripple has selected BNY Mellon as the custodian for its upcoming stablecoin, aiming to build trust with institutional players.
• The stablecoin will be backed by U.S. dollars and short-term treasuries, with regular audits to ensure transparency.
• XRP saw a price bump following the news, as the market views Ripple’s progress as a signal of strength for the token.
• Ripple’s stablecoin will not replace XRP but will complement it by supporting settlement and treasury use cases.
• This move positions Ripple to offer a stable, enterprise-ready product as stablecoins gain wider use in finance and payments.