Standard Chartered has added Ripple’s RLUSD stablecoin to its institutional digital-asset custody offering through its Dubai International Financial Centre branch, extending support to the XRP Ledger-based token. The bank said eligible institutional clients can now hold RLUSD in regulated custody using its existing infrastructure.
The custody service is live, but a related plan to let institutions use RLUSD as trading collateral without moving the token onto a venue is still under development. That arrangement, being worked on with Ripple and LMAX Group, remains subject to testing, final legal documentation, internal approvals and applicable regulatory requirements.
RLUSD added to the bank’s custody platform
The announcement expands Standard Chartered’s digital-asset custody services in the UAE to include RLUSD, Ripple’s stablecoin designed to maintain a value of $1. Support currently covers RLUSD issued on the XRP Ledger through the bank’s DIFC branch.
Standard Chartered confirmed that custody support for the token is operational. It did not disclose how many clients are using the service or the amount of RLUSD being held.
Collateral mirroring is planned, not yet active
Alongside the custody launch, Standard Chartered is working with Ripple and LMAX Group on a collateral-mirroring structure tied to RLUSD. Under that model, institutions would be able to use RLUSD for trading while the asset remains with a regulated custodian rather than being transferred to the trading venue.
The intended setup would allow a venue to recognize RLUSD held in custody as collateral, which the companies say could lower operational risk and support collateral management through a separate custodian. However, the service is not yet live and still depends on testing, readiness in relevant jurisdictions, regulatory requirements, internal approvals and final documentation.
Part of a broader Ripple-LMAX relationship
The new arrangement builds on a January agreement between Ripple and LMAX. Under that deal, Ripple agreed to provide $150 million in financing to support LMAX’s cross-asset operations and to help integrate RLUSD into institutional trading infrastructure.
At the time, the plan was to use RLUSD across spot crypto, perpetual futures, contracts for difference and foreign-exchange products. The collaboration was also meant to support RLUSD as collateral, margin funding and a settlement currency, linking Ripple Prime’s brokerage services with LMAX venues. The October custody launch adds another layer by allowing clients to hold RLUSD with Standard Chartered while accessing LMAX products.
No details were disclosed on how much of the financing has been drawn or whether any terms of the January agreement have changed.
How the launch fits Standard Chartered’s crypto push
The RLUSD addition continues Standard Chartered’s broader expansion in institutional crypto services. The bank has been building out custody and trading capabilities across multiple jurisdictions and counterparties.
LMAX had previously become the first customer of Standard Chartered Luxembourg’s custody platform after regulatory authorization, reflecting an earlier link between the two groups. Standard Chartered also previously introduced a collateral-mirroring model with OKX that lets institutions post crypto and tokenized money market funds as collateral while assets remain with a custodian.
More recently, in September 2026, the bank expanded Bitcoin and Ethereum spot trading through its DIFC branch. The next confirmed step for the RLUSD initiative is the potential rollout of the planned collateral service, but that remains contingent on the outstanding testing, documentation, approvals and regulatory clearance.
Source: crypto.news