What is RLUSD, Ripple's stablecoin?

RLUSD, short for Ripple USD, is a stablecoin created by the payments company Ripple. Each token is designed to be worth one US dollar and can be redeemed for dollars through the issuer. Ripple launched it in December 2024, aiming it mainly at financial firms that move money across borders.

How does the RLUSD stablecoin work?

RLUSD is issued by Standard Custody & Trust Company, which Ripple owns. The New York State Department of Financial Services (NYDFS) granted that company a limited purpose trust charter in May 2021, and it remains under NYDFS supervision.

NYDFS guidance from 2022 sets the basic rules for dollar stablecoins issued under its oversight. Reserves must be worth at least as much as the tokens in circulation, be held apart from the issuer's own money, and consist of assets such as short-dated Treasury bills, government money market funds and bank deposits. An independent accountant must check the reserves at least monthly, and holders must be able to redeem at face value, by default within two business days.

Ripple says RLUSD is backed by cash, US Treasuries and government money market funds, with monthly attestations published. It named BNY as the custodian of the reserves.

What is the difference between XRP and RLUSD?

XRP is the native coin of the XRP Ledger. It has no issuer standing behind it and no promise of a fixed value, so its price moves with the market. RLUSD is a token issued by a company that promises to swap it for one dollar.

They are linked mainly by the network. RLUSD is one of the tokens that can be sent on the XRP Ledger, and every transaction on that ledger, including an RLUSD transfer, costs a tiny fee paid in XRP, which is then destroyed. RLUSD also exists on Ethereum, and Ripple's product page says it supports seven chains in total.

How does RLUSD compare with USDC?

Both are dollar stablecoins backed by cash-like reserves and aimed at payments and trading. USDC is issued by Circle. The guide to USDT vs USDC explains how the larger coins work.

The main difference is regulatory set-up. On December 12, 2025, the Office of the Comptroller of the Currency gave conditional approval to both Ripple and Circle to form national trust banks. For Ripple, the plan is for Ripple National Trust Bank to oversee RLUSD reserves, adding federal supervision to state oversight. In September 2026, Ripple described this as one step in a multi-stage process, not a finished charter.

The federal GENIUS Act, signed in July 2025, sets national rules for stablecoin issuers, and as of October 2026 those rules were still being phased in. A stablecoin is not a bank deposit and does not carry deposit insurance.