BNY, the custody bank that already safeguards the reserves behind Ripple’s stablecoin, now holds XRP and RLUSD for institutional clients on its Digital Asset Custody platform, Ripple announced on Oct. 27.
Eligible BNY clients can use the platform to store and move the two assets inside the bank’s existing servicing and controls framework, according to the release.
The custody addition builds on a custody relationship dating to July 2025, when Ripple chose BNY as primary custodian for RLUSD reserves. BNY also has a custody relationship with Ripple Prime.
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Plans Still Pending Approval
The rest of the announcement covers intentions rather than live products. BNY plans to expand the range of tokenized assets and investment products it supports on the XRP Ledger (XRPL), and to work with Ripple on a second plan that would let BNY customers mint and redeem RLUSD without leaving the bank. Ripple said both plans are subject to final approvals from BNY and regulators. No timeline was given.
Monica Long, Ripple’s president, said the aim is to make tokenized assets “usable for payments and collateral across financial markets.” Carolyn Weinberg, BNY’s chief innovation and market transformation officer, said the collaboration is meant “to shape a more continuous, efficient and resilient financial system.”
Trade Finance Talks With C2FO
The two firms also intend to bring tokenized trade finance to the XRPL, depending on what clients want. As a first step, they are exploring a supply chain finance project with C2FO, a working capital marketplace, with the goal of opening receivables to a wider pool of investors.
Ragui Selwanes, C2FO’s president and COO for the Americas, said the company is “excited to explore how a new model for financing approved receivables has the potential to broaden access to capital while preserving the relationships and experience our customers already trust.”
The announcement came a day after Ripple received final federal approval for Ripple National Trust Bank, which is slated to manage the segregated reserves backing RLUSD. Ripple’s release did not mention the trust bank or explain how it would affect BNY’s reserve custodian role.
RLUSD’s market capitalization was about $2.6 billion on Wednesday, according to CoinGecko, slightly above the roughly $2.5 billion Ripple cited in its release. Ripple said the XRPL has handled over 4.6 billion transactions to date, and that transfers settle in about three to five seconds.
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