Moody's Rates Ripple's $2.6B RLUSD Stablecoin A2 After OCC Bank Approval

The agency stated these ratings reflect the quality of RLUSD's reserves. These reserves are primarily held in Treasury bills, other short-term U.S. government assets, and cash, with most assets managed by custodian BNY.

Moody's noted that RLUSD's reserves are heavily weighted toward Treasury holdings. The stablecoin maintains a target coverage of 103% relative to tokens currently in circulation.

However, the ratings agency pointed out limitations regarding holder protection. Standard Custody is not a bankruptcy-remote entity, and holders currently lack direct ownership stakes in the reserves.

The rating followed the final approval granted by the Office of the Comptroller of the Currency for Ripple National Trust Bank. This bank will manage the reserves and serve as the collateral trustee for RLUSD.

RLUSD, which launched in December 2024 on Ethereum and the XRP Ledger, currently holds a market capitalization of approximately $2.6 billion.

The ratings were requested by the issuer, and the assignment was made on Tuesday. The P-1 rating is Moody's top short-term grade, while A2 is the sixth-highest long-term grade.

The development occurs shortly after the OCC approval, providing backing to RLUSD from firms such as Mastercard and Standard Chartered.

These actions by the issuer and regulators suggest a movement toward formalizing digital asset backing structures within established financial oversight.

Why it matters

This rating provides a significant layer of institutional validation for RLUSD as it targets enterprise adoption. The combination of OCC bank approval and Moody's rating signals increasing regulatory acceptance of Ripple's stablecoin infrastructure. Readers should watch how the GENIUS Act's provisions affect the protection of RLUSD holders moving forward.

Earlier coverage

• No specific regulatory action detailed in source text Oct 28
• Ariel's Bobrinskoy says bonds are back, citing 10-year Treasury yield near 5% Oct 28