XRP News: Ripple CEO Brad Garlinghouse Reveals Game-Changing Partnership with BNY Mellon for RLUSD
- Why Did Ripple Choose BNY Mellon as RLUSD’s Custodian?
- Brad Garlinghouse’s Take: How Stablecoins Are Reshaping Finance
- RLUSD: The Stablecoin Bridging Crypto and Traditional Finance
- XRP Price Reaction: A 2% Surge and What’s Next
- Regulatory Tailwinds: The GENIUS Act Effect
- FAQs: Ripple, BNY Mellon, and RLUSD
Ripple’s latest power move? Teaming up with banking giant BNY Mellon to supercharge institutional adoption of its USD-backed stablecoin, RLUSD. The partnership, announced on July 9, 2025, positions BNY Mellon as the primary custodian for RLUSD reserves—a strategic play bridging crypto and traditional finance. XRP’s price surged 2% post-announcement, while BNY Mellon’s stock (BK) edged up 1%. With RLUSD’s market cap hitting $500M and regulatory tailwinds from the U.S. Senate’s GENIUS Act, Ripple’s ecosystem is firing on all cylinders. Dive into the details below. ---
Why Did Ripple Choose BNY Mellon as RLUSD’s Custodian?
In a July 9 press release, Ripple unveiled BNY Mellon—the world’s largest custodian with $53T in assets—as the guardian of RLUSD reserves. This isn’t just about safekeeping; it’s a calculated step to legitimize crypto for institutional players. BNY Mellon’s infrastructure will enable seamless reserve movements, liquidity access, and compliance—critical for RLUSD’s use in cross-border payments and treasury management. Jack McDonald, Ripple’s SVP of Stablecoins, emphasized: “BNY Mellon’s role ensures frictionless asset conversions, a cornerstone for RLUSD’s growth.” The collaboration leverages BNY’s transactional banking prowess, including its $2T+ in managed assets, to offer integrated solutions for Ripple’s clients. Notably, this mirrors trends like BlackRock’s bitcoin ETF custody play, signaling Wall Street’s deepening crypto embrace.
Brad Garlinghouse’s Take: How Stablecoins Are Reshaping Finance
Ripple’s CEO Brad Garlinghouse took to CNBC’s *Squawk Box* to unpack the partnership’s significance. His key points? Institutional demand for stablecoins is exploding, and clarity from the GENIUS Act (passed June 2025) is accelerating adoption. “Banks like BNY Mellon entering crypto isn’t optional—it’s inevitable,” he quipped. The Act establishes consumer protections and jurisdictional boundaries, creating a sandbox for innovation. Garlinghouse also hinted at Ripple’s pipeline, including OpenPayd’s minting services for RLUSD. For context, stablecoins now process over $10T annually, per CoinGlass data—making BNY’s MOVE a no-brainer.
RLUSD: The Stablecoin Bridging Crypto and Traditional Finance
RLUSD isn’t just another stablecoin. Backed 1:1 by USD and live on XRP Ledger and Ethereum, it’s engineered for enterprises. Think cross-border settlements (saving 40% vs. SWIFT, per Ripple’s case studies), treasury ops, and instant liquidity. Its $500M market cap reflects traction, but the real story is its ecosystem: partnerships like OpenPayd for minting and now BNY Mellon for custody. Unlike Tether’s opacity, RLUSD leans into transparency—a selling point for regulators. The BTCC team notes RLUSD’s RSI at 63.74 (TradingView), signaling bullish momentum. Pro tip: Watch its ethereum integration—it could unlock DeFi yield opportunities.
XRP Price Reaction: A 2% Surge and What’s Next
News of the BNY Mellon deal sent XRP to $2.44 (+2% in 24hrs), with trading volume spiking 41%. Technicals look strong: price above all key SMAs (50/100/200) on the daily chart. Analysts attribute this to RLUSD’s utility—every institutional adoption step boosts XRP’s underlying value. Historical precedent? When Ripple partnered with Tranglo in 2021, XRP rallied 25% in a week. That said, macro risks linger—SEC lawsuits still cast shadows. Data from CoinGlass shows open interest rising, suggesting traders are betting on continuity.
Regulatory Tailwinds: The GENIUS Act Effect
The U.S. Senate’s GENIUS Act (passed Q2 2025) is a watershed moment. By defining stablecoin rules, it’s spurred demand from corporations seeking cheaper FX solutions. RLUSD’s compliance-first design positions it perfectly—BNY Mellon’s involvement adds further credibility. Compare this to PayPal’s PYUSD, which lacks equivalent banking partnerships. The Act also preempts state-level fragmentation, a headache for projects like Circle’s USDC. For Ripple, timing is everything: RLUSD’s launch coincided with regulatory green lights.
---FAQs: Ripple, BNY Mellon, and RLUSD
What does BNY Mellon’s role entail for RLUSD?
BNY Mellon will custody RLUSD’s USD reserves, ensuring liquidity and regulatory compliance for institutional clients.
How does RLUSD differ from USDT or USDC?
RLUSD targets enterprises with banking-grade infrastructure (via BNY Mellon) and native XRP Ledger integration, unlike Tether’s focus on retail traders.
Why did XRP’s price rise post-announcement?
Institutional adoption signals (like BNY Mellon) reinforce XRP’s utility in Ripple’s ecosystem, driving investor confidence.
What’s the GENIUS Act’s impact on stablecoins?
It provides legal clarity, encouraging banks like BNY Mellon to engage with compliant stablecoins like RLUSD.
