Ripple applies for national bank charter, RLUSD plans to access Federal Reserve account

Ripple has submitted a national bank charter application to the Office of the Comptroller of the Currency (OCC), planning to place its stablecoin RLUSD under federal regulation, while continuing to be regulated by the New York State Department of Financial Services. Its subsidiary Standard Custody has also applied to the Federal Reserve to open a master account to directly hold RLUSD reserves without relying on commercial banks.

If approved, RLUSD will become the first stablecoin to have direct access to the Federal Reserve. Ripple stated that this move will set a new standard for "transparency and compliance in the stablecoin market." Currently, the circulation of RLUSD has exceeded $455 million, with a projected growth of 490% by 2025, and a trading volume of $2.6 billion in June reached a new high.

On the same day, CEO Brad Garlinghouse denied any formal relationship with the Linqto platform, which is under investigation, stating that Ripple has not sold shares to it and has ceased related transaction approvals by the end of 2024.

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