Moody's assigns A2 rating to Ripple's RLUSD stablecoin

Moody's Ratings assigned an A2 long-term rating and a P-1 short-term rating to the RLUSD stablecoin. The issuer, Standard Custody & Trust Company, requested the ratings. Moody's cited the credit quality and market value of RLUSD's reserve assets as reasons for the decision. These reserves are held mostly in short-term U.S. government assets and cash, with most held by custodian BNY. RLUSD has a target of 103% coverage of tokens in circulation and a market capitalization of about $2.6 billion.

Moody's noted that Standard Custody is not a bankruptcy-remote entity and that RLUSD holders do not currently have a direct ownership interest in the reserves. Eligible institutional holders can redeem RLUSD at par within two business days. The GENIUS Act is expected to take effect in 2027 and will exclude required reserves from an issuer's bankruptcy estate. RLUSD will be issued under New York Department of Financial Services oversight.

The rating was assigned a day after Ripple won final approval from the Office of the Comptroller of the Currency for Ripple National Trust Bank. Standard Chartered began offering institutional custody of RLUSD through its Dubai branch. In November 2025, Ripple teamed up with Mastercard, WebBank and Gemini to explore using RLUSD on the XRP Ledger. RLUSD was launched in December 2024 on Ethereum and the XRP Ledger.