What is RLUSD? Ripple's dollar stablecoin explained

RLUSD, short for Ripple USD, is a stablecoin issued by the crypto payments company Ripple and designed to always be worth one US dollar. It launched in December 2024 and, according to Ripple, has grown past $2.6 billion in market value. This explainer covers who issues RLUSD, what backs it, where it runs, how it compares with XRP, USDT and USDC, and what can go wrong. It is educational, not investment advice.

Who issues RLUSD

RLUSD is issued by Standard Custody & Trust Company, a New York-chartered trust company owned by Ripple and supervised by the New York State Department of Financial Services (NYDFS). In October 2026 Ripple also received final OCC approval for a national trust bank, which brings RLUSD under federal oversight as well.

Ripple is the company; XRP is the separate, freely traded coin of the XRP Ledger. Our guide to what XRP is explains that difference in detail.

What backs it

Each token is meant to be redeemable for one dollar. According to Moody's, the reserve is invested mainly in:

• short-term US Treasury bills and other short-dated US government assets;
• cash, held largely at BNY, America's oldest bank;
• with a target of 103% coverage, meaning slightly more reserve assets than tokens in circulation.

Ripple publishes monthly reserve attestations from an independent accounting firm. In October 2026 Moody's gave RLUSD an A2 long-term and P-1 short-term rating, both investment grade. That is an opinion on credit risk, not a guarantee. For the general idea of how dollar tokens hold their value, see what a stablecoin is.

Where RLUSD runs

RLUSD is issued natively on two blockchains:

• XRP Ledger (XRPL): fast settlement in a few seconds and very low fees. To hold RLUSD there, your account needs a small XRP reserve and a trust line to the RLUSD issuer. Developers have proposed sponsored accounts so new users would not need XRP first.
• Ethereum: an ERC-20 token. Sending it costs ETH for gas.

Since Oct. 28, 2026 Coinbase also supports deposits and withdrawals on Base, its layer-2 network. Always use the same network on both the sending and receiving side.

How it compares with USDT and USDC

RLUSD is much smaller than USDT and USDC. Its growth has come mostly from institutions: banks, brokers and payment firms. Our USDT vs USDC guide covers the two market leaders.

What RLUSD is used for

• Payments: Ripple uses it in its cross-border payments network, which it expects to approach $150 billion in lifetime volume by the end of 2026.
• Collateral and trading: institutional clients of Ripple Prime can post RLUSD as collateral.
• Bank and broker integrations: BNY plans to custody XRP and RLUSD, Standard Chartered offers RLUSD custody in Dubai, and Robinhood is bringing RLUSD to its app.

How to get RLUSD

Most people buy RLUSD on an exchange that lists it. In October 2026 Coinbase added RLUSD to its app, Exchange and Prime with 1:1 conversion from dollars, and it is also available on Bitstamp. Direct minting and redemption with Ripple is for approved institutional customers. Before withdrawing to your own wallet, check that the wallet supports RLUSD on the network you picked. Our guide on how to store crypto safely covers backups and scams.

Risks to know

• Issuer and reserve risk: the token is only as good as the reserve and Ripple's ability to redeem.
• Peg risk: in market stress a stablecoin can trade below $1 for a while.
• Not insured: RLUSD is not a bank deposit and has no FDIC insurance.
• Freezing: like USDT and USDC, the issuer can freeze tokens, for example under a court order.
• Network mistakes: sending on the wrong network or without an XRPL trust line can delay or lose funds.