Standard Chartered Launches RLUSD Custody with Ripple and LMAX Group

• Standard Chartered launched RLUSD custody through its Dubai DIFC branch, regulated by the Dubai Financial Services Authority.
• Ripple and LMAX Group are working with the bank to enable RLUSD as trading collateral while assets remain in custody.
• The planned collateral integration remains subject to documentation, testing, internal approvals and regulatory requirements across jurisdictions.

Standard Chartered has launched institutional custody for Ripple USD (RLUSD) on the XRP Ledger (XRPL), while working with Ripple and LMAX Group to expand its use as trading collateral. The custody service operates through the bank’s Dubai International Financial Centre branch, regulated by the Dubai Financial Services Authority (DFSA).

The service gives eligible institutional clients access to Standard Chartered’s digital asset custody infrastructure. The bank is also working with Ripple and LMAX Group to make RLUSD eligible collateral for agreed products and services.

Under the planned arrangement, clients could hold RLUSD in custody while using its value to support trading activities on LMAX Group’s marketplace. The structure would not require clients to transfer the underlying stablecoin directly to the trading venue.

According to Standard Chartered, the arrangement aims to reduce transfer-related operational risks, manage counterparty exposure and improve capital efficiency. However, these capabilities remain subject to implementation requirements.

Jack McDonald, Ripple’s senior vice president of stablecoins, said institutions want regulated stablecoins without sacrificing trusted custody standards. He said combining RLUSD on XRPL, Standard Chartered’s custody capabilities and LMAX Group’s trading infrastructure creates a route for institutional stablecoin use across global markets.

Meanwhile, Luke Dorney, head of custody at LMAX Group, said the company had agreed to adopt Standard Chartered’s collateral model. He said the arrangement would give clients more flexibility when holding and deploying RLUSD across its cross-asset marketplace.

Waqar Chaudry, Standard Chartered’s global head of digital assets, securities services and transaction services, said institutions need secure custody, liquidity access and efficient collateral management. He added that integrating the companies’ capabilities could help clients use digital assets within broader financial activities.

The planned collateral capabilities still require final documentation, successful testing, internal approvals and readiness across relevant jurisdictions. The companies must also meet applicable laws and regulations before implementation.

Standard Chartered said it would announce further details as the work progresses. The XRP Ledger is a public blockchain designed for fast, secure and efficient financial transactions. It provides the infrastructure for RLUSD transfers between institutional counterparties and across trading and collateral workflows.