Standard Chartered launches RLUSD custody on XRP Ledger
Standard Chartered's DIFC branch now custodies XRP Ledger RLUSD for eligible institutions; a planned LMAX collateral link still needs testing and approvals.
The Top Crypto Editors 2 min read
What changed for institutional RLUSD holders? Standard Chartered has launched custody for Ripple USD (RLUSD) issued on the XRP Ledger, giving eligible clients access to the bank’s digital asset custody infrastructure. In its 12 October announcement, Standard Chartered said the service is available through its DIFC Branch, regulated by the Dubai Financial Services Authority. The launch applies to RLUSD on the XRP Ledger; the announcement does not describe custody support for RLUSD issued on other networks.
Where is the custody service available?
Eligible clients can access the service through Standard Chartered’s DIFC Branch in Dubai. That puts the new support within the bank’s existing digital asset custody infrastructure, though the announcement gives no client numbers, minimum balances or other eligibility terms. It also does not disclose how much RLUSD the bank expects to hold.
The custody service is live, while a separate arrangement with Ripple and LMAX Group remains planned. The firms intend to make RLUSD eligible collateral for agreed LMAX products and services across trading and collateral management. That distinction matters: the custody launch is confirmed, but the collateral use case is not yet available.
How would the planned LMAX collateral link work?
Under the proposed collateral mirroring model, the value of eligible RLUSD would be mirrored to LMAX without transferring the underlying tokens directly to the trading venue, according to LMAX Group’s announcement. The firms say this is intended to give institutions more flexibility in holding and deploying digital assets and to help reduce transfer-related operational risk. They have not specified which LMAX products will qualify or published a launch date.
The future capabilities remain subject to final documentation, successful testing, applicable laws and regulations, internal approvals and jurisdictional readiness. The next thing to watch is the firms’ implementation update: it will need to clarify when the collateral arrangement can go live and which products it will cover.
References
- 12 October announcement — sc.com
- LMAX Group’s announcement — lmax.com