Ripple Gets Final OCC Approval for US Trust Bank to Manage RLUSD Reserves
Summary
- Ripple said it received final approval from the Office of the Comptroller of the Currency, or OCC, to establish a federally chartered trust bank.
- The trust bank will manage reserves for Ripple’s stablecoin RLUSD and provide digital-asset custody services.
- The market capitalization of RLUSD in circulation has more than doubled since the start of the year to about $2.6 billion.
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Ripple has received final approval from the Office of the Comptroller of the Currency to establish a federally chartered trust bank.
Bloomberg reported on October 27 that Ripple said it had won final approval to complete the formation of Ripple National Trust Bank after receiving conditional approval in December last year.
Once it begins operations, the bank will manage reserves for Ripple’s stablecoin RLUSD and provide digital-asset custody services subject to fiduciary obligations.
“We’ve said for years that crypto and banks work better together,” Ripple Chief Executive Officer Brad Garlinghouse said. “Final approval of Ripple National Trust Bank shows exactly what that looks like.”
Standard Custody & Trust Co., which is regulated by New York state, will remain the issuer of RLUSD. The new trust bank will add a federal layer of oversight to the token’s issuance structure.
Unlike commercial banks, trust banks typically do not take deposits or make loans. They also are not covered by Federal Deposit Insurance Corp. deposit insurance.
RLUSD, which launched in December 2024, is used in Ripple’s payments infrastructure and its brokerage platform, Ripple Prime. Its market capitalization in circulation has more than doubled since the start of the year to about $2.6 billion.
Minseung Kang
minriver@bloomingbit.ioBlockchain journalist | Writer of Trade Now & Altcoin Now, must-read content for investors.