Ripple USD

Ripple USD (RLUSD) is a US dollar stablecoin issued by Standard Custody & Trust Company, LLC, a wholly owned subsidiary of Ripple Labs. Launched in December 2024, RLUSD is designed to hold a stable value of one US dollar, with each token backed by at least an equivalent amount of US dollars and cash-equivalent assets held in reserve. It is issued natively on both the XRP Ledger and Ethereum.

How it works

Like other fiat-backed stablecoins, RLUSD does not rely on its own consensus mechanism or mining. Tokens are minted when dollars are deposited with the issuer and burned when holders redeem them, keeping supply matched to reserves. The stablecoin was developed with regulatory compliance as a central design goal: it is issued through a New York-chartered trust company, reflecting Ripple's broader strategy of operating within established regulatory frameworks.

Purpose and positioning

RLUSD is purpose-built for cross-border payments, the same problem Ripple has focused on for over a decade with the XRP Ledger. By pairing a regulated digital dollar with fast, low-cost blockchain settlement, Ripple aims to give financial institutions, enterprises, and developers a reliable unit for moving value internationally. The company's existing relationships in the payments industry are intended to give RLUSD broad accessibility and liquidity from the start.

Supply and role in the ecosystem

RLUSD has no maximum supply; like all fiat-backed stablecoins, its supply expands and contracts with issuance and redemption, and roughly 1.6 billion tokens are currently in circulation. Within the XRP Ledger ecosystem, RLUSD adds a regulated dollar instrument alongside the native XRP asset, supporting use cases such as payments, trading, and on-chain settlement. On Ethereum, it competes in the crowded USD stablecoin market alongside USDT, USDC, and newer entrants, differentiating itself through Ripple's institutional focus and compliance posture.