New York Mellon Bank will provide USD reserve custody services for Ripple's stablecoin RLUSD.

BlockBeats News, July 9th, according to The Block, Ripple announced on Wednesday that it has selected BNY Mellon to custody the U.S. dollar cash and U.S. Treasury bond reserves for its stablecoin RLUSD, with RLUSD's circulating supply surpassing $500 million.

As one of the largest custody banks in the United States, BNY Mellon has approximately $52 trillion in assets under management. It will securely custody the reserve assets for RLUSD and assist with liquidity management. This move aims to ensure RLUSD holders can redeem dollars on a 1:1 basis, with the redemption mechanism following regulatory standards similar to traditional money market funds.

BNY Mellon established a dedicated digital assets unit in 2021 and officially started offering services to institutional-grade crypto clients in 2022.