Ripple National Trust Bank will manage RLUSD reserves and can hold digital assets for institutions. Standard Custody remains the issuer, while Ripple has not announced when services will begin.
Ripple says the Office of the Comptroller of the Currency (OCC) has granted final approval for Ripple National Trust Bank. The bank will manage the segregated reserves backing the dollar-linked RLUSD stablecoin and can provide digital asset custody to institutions. Standard Custody & Trust Company, supervised by the New York Department of Financial Services (NYDFS), will remain the token’s issuer.
The company said on October 26 that it had completed preparations to establish the bank after receiving conditional approval in December 2025. CEO Brad Garlinghouse also announced the decision at 23:22 UTC on October 26. Ripple did not give a specific date for services to begin.
What will the new bank do?
Ripple National Trust Bank (RNTB) will manage RLUSD reserves and act as collateral trustee, overseeing the reserve assets for token holders’ benefit. It can also hold institutions’ digital assets under fiduciary duties that require it to act in clients’ interests. Reserve management, token issuance and custody of the reserve assets are separate responsibilities.
| Institution | Role | Oversight or relationship |
|---|---|---|
| Standard Custody & Trust Company | Continues issuing RLUSD | NYDFS-supervised limited purpose trust company |
| Ripple National Trust Bank | Reserve management, collateral trustee and digital asset custody | Federal OCC supervision |
| BNY | Primary custodian of RLUSD reserves | Ripple’s existing reserve custody arrangement |
The OCC’s December 12, 2025 decision limited RNTB to trust company operations and related activities. The regulator allowed it to hold cryptocurrency for both affiliates and unaffiliated institutional customers.
Garlinghouse says operating under federal supervision will help Ripple develop its payments, custody and capital-markets products:
“crypto and banks work better together”
Brad Garlinghouse’s announcement of final OCC approval
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The CEO announced the approval ahead of Ripple Swell in his October 26 post at 23:22 UTC.
What backs RLUSD?
Ripple keeps RLUSD reserves in accounts separate from its other assets. Its user terms permit bank deposits, U.S. Treasury bills with no more than three months to maturity, overnight reverse repos fully collateralized by Treasury securities, and government money market funds. BNY has been the primary reserve custodian since July 2025. Ripple has not said RNTB will replace BNY.
The transparency page reports $2,382.8 million of RLUSD in circulation and $2,528.0 million in reserve funds as of October 22, 2026, a difference of $145.2 million. Four days later, the bank announcement put the token’s market capitalization at a rounded $2.5 billion. The reserve figure is dated October 22; the market-cap figure is from October 26.
Independent U.S.-licensed accountants provide monthly attestations of management’s assertions about circulating supply and reserve composition. Ripple says reports will appear within 30 days of month-end. On the morning of October 27, the latest report linked in the monthly list was for August 2026. The October 22 balances shown separately on the page are not an independent attestation for that month. The accountants’ work is limited to those assertions; it is not a financial-statement audit of the bank’s entire business.
Readers seeking background on how reserves support stablecoin value can watch Ripple’s August 16, 2024 video with Jack McDonald. The 1-minute-25-second recording predates the bank approval.
Can a holder redeem directly for dollars?
Direct redemption requires a holder to qualify for and become a Ripple customer. The user terms updated on October 14 state that customers can redeem each RLUSD for one dollar, subject to the customer agreement’s limits and any fees. Holding the token in a wallet does not grant a right to withdraw assets directly from the reserve account.
On crypto exchanges, RLUSD can trade above or below one dollar; Ripple does not guarantee prices quoted by third parties. Network failures or congestion can also delay issuance, transfers and redemptions. The company reserves the right to blacklist addresses and freeze tokens to comply with applicable law or its own compliance policies.
No deposit insurance: RLUSD does not carry U.S. FDIC deposit insurance or SIPC protection. The user terms also state that the token is not designed to appreciate or generate returns.
When will the bank open?
The OCC imposed pre-opening requirements when it gave conditional approval in December 2025. Ripple now reports final approval and says institutional custody can begin when the bank opens. It has not announced that it has opened customer accounts or placed reserves under RNTB’s management, or given dates for those steps.
RLUSD and XRP are different assets. Dollar reserves back RLUSD, while XRP is the XRP Ledger’s native cryptocurrency and trades at a market price. Ripple says RLUSD, launched in December 2024, is used in its payment infrastructure and as collateral within Ripple Prime. The company did not disclose how many customers the bank expects to serve or its projected transaction volume.
