Key Takeaways
- • Ripple's RLUSD stablecoin, which surpassed $2.4 billion in market capitalization following its December 2024 launch, is now available on Coinbase's retail app, Coinbase Exchange, and Coinbase Prime, according to the announcement reported by CryptoSlate.
- • Moody's Ratings assigned RLUSD an A2 long-term deposit rating and a P-1 short-term deposit rating, placing it in the investment-grade category; Ripple describes it as the first stablecoin to receive such a rating from Moody's.
- • Moody's cited the quality and liquidity of reserves, consisting predominantly of short-term US government securities and cash, with issuer Standard Custody & Trust Company targeting 103% reserve coverage and BNY holding most assets.
- • Coinbase will support RLUSD deposits and withdrawals on the XRP Ledger, Ethereum, and Base, and users can convert US dollars and other supported dollar-backed stablecoins into RLUSD at a 1:1 rate.
- • The expansion follows Ripple's agreement with Robinhood earlier in the same week, extending RLUSD distribution through major trading platforms.
Summary
Ripple's RLUSD stablecoin has launched on Coinbase and its Base blockchain following a credit rating from Moody's Ratings, according to CryptoSlate. The agreement, announced on Wednesday, makes RLUSD available across Coinbase's retail and institutional trading platforms, including the Coinbase retail application, Coinbase Exchange, and Coinbase Prime, its institutional trading and custody platform. Customers can convert US dollars and other supported dollar-backed stablecoins into RLUSD at a 1:1 rate. Coinbase will support deposits and withdrawals across the XRP Ledger, Ethereum, and Base, and Ripple will provide liquidity on Base to support trading and adoption across the network's decentralized finance applications.
The expansion comes as RLUSD, launched in December 2024, has surpassed $2.4 billion in market capitalization. Coinbase's second-quarter earnings report showed stablecoin transaction volume on Base rose sevenfold year over year, and more than 90% of stablecoin transaction volume associated with onchain AI agents occurred on Base during the quarter. The network's growth has been largely supported by Circle's USDC, which remains central to Coinbase's stablecoin business; RLUSD adds another dollar-backed asset to that ecosystem. The companies also plan to make RLUSD available to Coinbase Global Exchange customers, including allowing institutional traders to use it as collateral for trading activities. The agreement follows Ripple's arrangement with Robinhood earlier the same week to bring RLUSD to its trading ecosystem and support institutional settlement on the XRP Ledger.
Moody's Ratings assigned RLUSD an A2 long-term deposit rating, within its investment-grade category, and a P-1 short-term deposit rating, the agency's highest short-term rating. Ripple senior vice president of stablecoins Jack McDonald described RLUSD as the first stablecoin to receive an investment-grade rating from Moody's and characterized the assessment as a significant endorsement of its financial infrastructure and reserve management. Moody's based its assessment on reserve quality and liquidity, redemption arrangements, custody protections, regulatory oversight, and operational controls. Reserves consist predominantly of short-term US government securities and cash, with issuer Standard Custody & Trust Company targeting 103% reserve coverage. BNY holds most of those assets, including US Treasury bills, and the issuer runs weekly liquidity stress tests and monitors reserves daily.
Moody's noted that reserves are segregated from the issuer's corporate assets and dedicated to redemptions, although holders currently lack direct ownership claims over them. The agency said the GENIUS Act, scheduled to take effect in 2027, could strengthen those legal protections. Redemptions at face value are supported within two full business days for eligible institutional holders, alongside independent monthly attestations and oversight by the New York Department of Financial Services. The rating applies to RLUSD issued natively on the XRP Ledger and Ethereum. McDonald framed the validation as increasingly important as the token expands, stating that independent credit assessment matters "more than ever" for stablecoins as they become part of the broader financial system.
The expansion comes as RLUSD, launched in December 2024, has surpassed $2.4 billion in market capitalization. Coinbase's second-quarter earnings report showed stablecoin transaction volume on Base rose sevenfold year over year, and more than 90% of stablecoin transaction volume associated with onchain AI agents occurred on Base during the quarter. The network's growth has been largely supported by Circle's USDC, which remains central to Coinbase's stablecoin business; RLUSD adds another dollar-backed asset to that ecosystem. The companies also plan to make RLUSD available to Coinbase Global Exchange customers, including allowing institutional traders to use it as collateral for trading activities. The agreement follows Ripple's arrangement with Robinhood earlier the same week to bring RLUSD to its trading ecosystem and support institutional settlement on the XRP Ledger.
Moody's Ratings assigned RLUSD an A2 long-term deposit rating, within its investment-grade category, and a P-1 short-term deposit rating, the agency's highest short-term rating. Ripple senior vice president of stablecoins Jack McDonald described RLUSD as the first stablecoin to receive an investment-grade rating from Moody's and characterized the assessment as a significant endorsement of its financial infrastructure and reserve management. Moody's based its assessment on reserve quality and liquidity, redemption arrangements, custody protections, regulatory oversight, and operational controls. Reserves consist predominantly of short-term US government securities and cash, with issuer Standard Custody & Trust Company targeting 103% reserve coverage. BNY holds most of those assets, including US Treasury bills, and the issuer runs weekly liquidity stress tests and monitors reserves daily.
Moody's noted that reserves are segregated from the issuer's corporate assets and dedicated to redemptions, although holders currently lack direct ownership claims over them. The agency said the GENIUS Act, scheduled to take effect in 2027, could strengthen those legal protections. Redemptions at face value are supported within two full business days for eligible institutional holders, alongside independent monthly attestations and oversight by the New York Department of Financial Services. The rating applies to RLUSD issued natively on the XRP Ledger and Ethereum. McDonald framed the validation as increasingly important as the token expands, stating that independent credit assessment matters "more than ever" for stablecoins as they become part of the broader financial system.
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