Standard Chartered has officially launched institutional custody services for the Ripple USD (RLUSD) stablecoin. The service operates on the XRP Ledger and is managed through the bank's branch located in the Dubai International Financial Centre.
The bank intends to implement a collateral-mirroring model in partnership with LMAX Group. This arrangement will allow institutional clients to utilize RLUSD as trading collateral while the assets remain securely held within the bank's custody infrastructure.
This mechanism is designed to enable LMAX to recognize the value of RLUSD holdings without requiring the physical transfer of tokens to the trading platform. The bank states that this approach aims to mitigate transfer-related risks and improve counterparty exposure management.
The implementation of these collateral capabilities is currently pending final documentation, testing, regulatory compliance, and internal bank approvals. This initiative follows a previous partnership between Ripple and LMAX Group announced in January 2026.
