BNY now supports custody of XRP and Ripple’s RLUSD stablecoin for eligible institutional clients, according to an Oct. 27 announcement from Ripple, giving institutions another way to hold and transfer the XRP Ledger’s native token.
The service offers a banking route to safeguard the asset and manage its operations. BNY describes its platform as connecting custody with settlement, accounting and servicing.
The announcement names no funded XRP custody client and discloses neither an XRP balance nor an incremental purchase. Moving tokens that clients already own to BNY would change their custodian without necessarily creating demand for more coins.
What BNY’s custody support changes
The change provides a route to custody XRP within BNY’s servicing platform. The bank’s existing workaround for stablecoins and tokenized assets provides context, but XRP custody directly concerns the token an institution would own.
BNY says its general custody platform uses segregated wallets, operational controls, and oversight. It also presents digital and traditional assets in a combined environment for settlement, accounting and servicing, which can simplify reconciliation and asset administration.
Those functions address how an institution manages an asset after deciding to hold it, and they can reduce operational friction. Yet, custody availability alone does not establish that every institution has the mandate, approvals, or appetite to acquire XRP.
Neither the release nor BNY’s platform description provides an XRP-specific list of eligible customers or jurisdictions. BNY says the availability of accounts, products and services varies by customer and location.
Its Oct. 8 European custody expansion was for select institutions. That earlier announcement did not establish XRP-specific availability across the EU, so the bank’s geographic presence cannot be treated as a map of where the new XRP service is accessible.
The relationship with Ripple already covered a different layer of digital finance. BNY’s selection as RLUSD’s primary reserve custodian was announced on July 9, 2025, involving the reserve assets and cash that support the stablecoin. The Oct. 27 release also cites its custody relationship with Ripple Prime.
The clearest evidence of service use would be XRP deposited into funded client custody accounts. But a balance at BNY would answer only part of the demand question: it would show tokens held there, while leaving open how those tokens were acquired.
Consider an institution that already owns XRP at another custodian. Transferring that position to BNY could increase the bank’s reported XRP holdings without any additional market purchase. The same tokens would have a new custody arrangement.
A client acquiring more XRP for a new allocation would be a different development. Connecting custody growth to that kind of acquisition would show the service accompanying additional buying. Establishing that BNY’s new access caused the purchase would require a further link to the client’s investment decision.
Even growth in a dollar-denominated custody total would need care. A higher token price can lift the value of assets held without increasing the number of XRP. Token balances and evidence of new acquisitions would be more informative together than a custody valuation alone.
Client custody support also provides no basis for treating BNY as an XRP buyer for its own balance sheet. A bank providing safekeeping and a client deciding to acquire tokens are separate participants and decisions.
C2FO’s settlement plan uses RLUSD
C2FO, a working-capital platform that helps businesses obtain early payment on approved invoices, announced a separate initiative with Ripple on Oct. 27. The companies plan to bring financing and settlement supporting C2FO Instant Pay onto the XRP Ledger, using RLUSD for settlement.
The initiative aims to shorten the settlement delay after early payment is arranged, and the relevant follow-up is how much XRP the service would need to operate when its settlement asset is RLUSD.
C2FO’s historical working-capital activity describes existing early-payment programs, rather than verified Instant Pay volume settled on XRPL.
The Instant Pay product page sets out the rollout limits: businesses can join a waitlist, access will expand through a limited rollout over the coming months, and the offering will be available only in the US at launch.
The rollout qualifications leave actual uptake and settlement volumes as developments still to observe.
Ripple and BNY say they are examining a C2FO supply-chain financing initiative intended to broaden investor access to approved receivables, subject to client requirements.
They also intend to expand support for XRPL-issued assets and work toward direct RLUSD minting and redemption for BNY clients.
These plans do not establish that invoice principal will be purchased or held in XRP, or that the proposed BNY minting, redemption and financing services have begun.
The ledger’s transaction-cost documentation lists a current minimum of 10 drops for a standard transaction, potentially rising under load, with the fee destroyed. Its reserve documentation lists a 1 XRP base reserve and generally 0.2 XRP per qualifying owned ledger item, with exceptions.
Those requirements do not rise dollar for dollar with the principal of an invoice settled in RLUSD. Any larger XRP liquidity or inventory requirement tied to C2FO would need separate evidence about how the service actually operates.
Funded XRP balances and evidence of clients’ additional acquisitions would show how institutions use BNY’s newly available custody.
C2FO’s rollout and settlement activity would answer a separate question about ledger use. For XRP holders, each would be more informative than treating the availability of a service as a measure of token buying.
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