Standard Chartered Launches RLUSD Custody, Eyes LMAX Collateral Deal

Standard Chartered has rolled out institutional custody services for Ripple's RLUSD stablecoin, marking a significant step in bridging traditional banking infrastructure with digital asset markets. The UK-based multinational bank announced on Monday that it is now supporting RLUSD on the XRP Ledger (XRPL) through its Dubai International Financial Centre (DIFC) branch, giving eligible institutional clients direct access to custody for the dollar-pegged token.

The bank is also planning to extend its collateral-mirroring model to LMAX Group, an institutional trading company, enabling clients to use RLUSD as trading collateral while the tokens remain in Standard Chartered's custody. Under this arrangement, LMAX would recognize the value of eligible RLUSD holdings without requiring clients to transfer assets to its trading platform, potentially reducing transfer-related risks and simplifying counterparty exposure management for institutions. The collaboration builds on a partnership Ripple and LMAX Group first announced in January 2026 to broaden institutional adoption of the stablecoin.

Standard Chartered confirmed that the expanded collateral capabilities remain subject to final documentation, platform testing, regulatory requirements, and internal approvals. The bank has been steadily expanding its digital asset footprint, including plans to launch institutional crypto custody services in Singapore as it competes with other global financial institutions entering the digital asset space. RLUSD, launched by Ripple in late 2024, has positioned itself among a growing field of regulated stablecoins targeting enterprise and institutional use cases.