Standard Chartered Launches RLUSD Custody for Institutional Clients

Standard Chartered launches RLUSD custody on the XRP Ledger, while Ripple and LMAX Group plan a new trading collateral system.

Standard Chartered has launched institutional custody services for Ripple’s RLUSD stablecoin on the XRP Ledger. The service provides qualified institutional buyers with access to the bank’s digital asset custody platform. The bank is also collaborating with Ripple and LMAX Group to increase the adoption of RLUSD for institutional trading.

Standard Chartered expands RLUSD Custody Services

Standard Chartered announced on October 12 that it provides RLUSD custody services in its Dubai International Financial Centre branch. The branch is licensed by the Dubai Financial Services Authority. So, qualified clients are able to store their stablecoins in the bank’s custody system.

BREAKING: Standard Chartered has launched institutional custody for Ripple's RLUSD on the XRP Ledger, through its DFSA-regulated Dubai branch. It also plans to let clients use RLUSD held in its custody as trading collateral at LMAX Group.@Ripple pic.twitter.com/z3SMCUhR1k

— MSB Intel (@MSBIntel) October 12, 2026

RLUSD is a stablecoin launched by Ripple that is designed to be valued at $1. Unlike Bitcoin, stablecoins seek to limit price changes by linking their value to traditional currencies. This means they can be used to facilitate payments, digital asset trading, and other financial transactions.

This latest addition by Standard Chartered brings banking to RLUSD on the XRP Ledger. Furthermore, it is linking the stablecoin to financial services for institutional clients. Such customers are businesses and professional investors who require asset storage and trading services that are secure.

Related reading: XRP And XLM Are Sitting At The Same Coin-Flip Level | Live Bitcoin News 

The bank is also in talks with Ripple and LMAX Group for a scheduled collateral deal. Under this scheme, clients who meet the requirements could use RLUSD as trading collateral without moving the tokens directly to the trading platform. However, the proposed system is not part of the existing custody service that has been launched.

Ripple and LMAX Group Plan RLUSD Collateral Integration

The planned arrangement is known as collateral mirroring. In this scenario, Standard Chartered would hold on to eligible RLUSD tokens. In parallel, the value of the collateral would be recognised in LMAX Group’s trading systems.

This could enable institutions to operate more efficiently with digital assets. For instance, the clients wouldn’t have to submit their underlying RLUSD to the trading venue. As a result, the structure may help to mitigate counterparty risk and exposures arising from transfers and to reduce some transfer-related risks.

However, the proposed integration has not yet received final approval. Before the planned launch of the collateral services, the parties must complete documentation, testing, and applicable regulatory requirements. So, it is not a given that all LMAX products will accept RLUSD.

LMAX Group is a provider of institutional trading infrastructure and services to professional market participants. It is also aiming to integrate stablecoin custody with trading and collateral management with its planned partnership with Standard Chartered and Ripple. Furthermore, the agreement may provide institutions with another option to leverage stablecoins in the existing financial systems.

The announcement also marks Standard Chartered’s broader efforts to expand its digital asset services. The bank has built up its custody capabilities in markets such as the United Arab Emirates, Luxembourg and Hong Kong. In addition, it has shared plans for expansion of similar institutional services in Singapore.

The partnership may help propel Ripple’s institutional business. But wider adoption will rely on client demand, regulatory rules and the successful roll-out of planned services. At the same time, the live custody offering gives qualified institutions a new way to hold RLUSD.