Standard Chartered officially launched its institutional custody service for Ripple’s RLUSD stablecoin on the XRP Ledger on Monday, October 12, 2026. Operated from Dubai, the initiative opens the door to a future integration with LMAX Group and materializes the British bank’s expansion strategy across the digital asset ecosystem.
🔑 Key takeaways
- Standard Chartered launches institutional custody for RLUSD via its DIFC branch in Dubai, regulated by the DFSA
- A partnership with Ripple and LMAX Group sets up a future collateral mirroring mechanism for trading
- RLUSD market capitalization has crossed $2.5 billion less than two years after launch
- Standard Chartered manages roughly $450 billion in assets under management and is accelerating its crypto strategy
- XRP is holding above $1.40 after 13 consecutive weeks of inflows into spot XRP ETFs
A custody service launched from Dubai
The RLUSD custody service is offered by Standard Chartered’s branch located within the Dubai International Financial Centre (DIFC), supervised by the Dubai Financial Services Authority (DFSA). This footprint allows the bank to serve an international institutional client base from a jurisdiction widely recognized for its progressive digital asset regulatory framework.
The offering enables eligible institutional clients to hold and manage RLUSD through Standard Chartered’s digital asset custody infrastructure, without relying on third-party custodians. The British bank thus positions itself as a direct reference custodian for the stablecoin, which is backed 1:1 by cash, U.S. Treasuries and government money market funds, with independent monthly attestations.
Collateral mirroring with LMAX Group
Standard Chartered is working with Ripple and LMAX Group to allow RLUSD to be used as eligible collateral for certain products and services offered by LMAX. The envisioned framework relies on a collateral mirroring model: the value of RLUSD assets held in custody would be reflected at LMAX Group without the underlying tokens needing to be transferred to the trading platform.
The architecture aims to reduce operational risks tied to transfers, improve counterparty exposure management and increase institutional capital efficiency. It builds notably on a $150 million investment made by Ripple into LMAX Group in January 2026.
However, this integration is not yet operational. According to Standard Chartered, it remains subject to finalizing documentation, technical testing, regulatory requirements and internal approvals. No firm launch date has been announced.
“Institutional clients want to participate in digital asset markets without compromising how their assets are safeguarded or how their risk is managed. The ecosystem must therefore make it easy for clients to securely hold their assets, access liquidity and efficiently deploy collateral within trusted frameworks.”
Waqar Chaudry, Global Head of Digital Assets at Standard Chartered
RLUSD: a stablecoin past $2.5 billion in market cap
Launched by Ripple in late 2024, RLUSD has crossed the $2.5 billion market capitalization threshold, according to CryptoPotato, less than two years after its initial deployment. The stablecoin is issued under the supervision of the New York Department of Financial Services (NYDFS), one of the world’s most demanding regulators for this type of product.
Several industry voices welcomed the new infrastructure. Jack McDonald, Senior Vice President of Stablecoins at Ripple, stated: “RLUSD was built precisely for this kind of institutional use case. Our goal is to give clients the efficiency of a regulated stablecoin without sacrificing the custody standards they already trust.”
“Combining RLUSD on the XRP Ledger, Standard Chartered’s custody capabilities and LMAX Group’s institutional trading infrastructure creates a practical path for institutions to put stablecoins to work across global markets.”
Jack McDonald, Senior Vice President of Stablecoins at Ripple
Standard Chartered’s broader crypto strategy
The launch of the RLUSD custody service is part of a much broader expansion strategy. Last week, Standard Chartered’s Singapore unit announced plans to offer institutional digital asset custody services by the end of 2026, complementing its existing footprint in the UAE, Luxembourg and Hong Kong.
Earlier in 2026, the bank finalized the full acquisition of Zodia Custody, the institutional custody firm it had incubated with Northern Trust in 2020. In August, Standard Chartered became the first bank to distribute one of Hong Kong’s two regulated stablecoins. In June, Zodia secured a payment institution license in Luxembourg, allowing it to provide regulated custody and stablecoin transfer services across the entire European Union.
The bank manages approximately $450 billion in assets under management, according to CoinDesk. Luke Dorney, head of custody at LMAX Group, said the deal would give clients “greater flexibility in how they hold and deploy RLUSD.” Joseph Goh, APAC head at Areta, summarized the stakes: “Regulated custody connected to a globally systemically important bank is becoming one of the most valuable pieces of infrastructure in digital assets.”
XRP consolidates above $1.40
On the market side, XRP was trading around $1.40 on Monday, holding its position above the 50-day exponential moving average (EMA 50), which sits precisely at that level. Spot XRP ETFs have recorded 13 consecutive weeks of inflows, according to FXStreet.
| Technical indicator | Level | Status |
|---|---|---|
| Spot price | ~$1.40 | Stable |
| 50-day EMA | $1.40 | Immediate support |
| 100-day SMA | $1.34 | Confirmed support |
| 200-day SMA | $1.38 | Structural support |
| ETF inflows | 13 weeks | Bullish |
XRP is also holding above its 200-day moving average at $1.38 and its 100-day moving average at $1.34, reinforcing a broadly bullish medium-term technical structure. The convergence of the 50-day EMA and spot price at $1.40 forms a key technical level to watch for traders.
Conclusion
By launching institutional custody for RLUSD in Dubai, Standard Chartered confirms its role as a major banking player in the tokenization of financial services on blockchains. The upcoming collateral mirroring integration with LMAX could serve as a template for other banks looking to bring stablecoins into their market infrastructure.
In the short term, attention will turn to the effective launch date of the LMAX integration and to spot XRP ETF flows, which are now an early indicator of institutional demand. For technical analysts, XRP’s ability to hold above its 100-day and 200-day moving averages remains the key signal to confirm before any sustained directional move.
Sources
This article is published for informational and educational purposes only. It does not constitute investment advice. Do your own research (DYOR) before making any decision.
