BNY Mellon plans to build a round-the-clock settlement system for the U.S. Treasury market, and the move has put Ripple's RLUSD stablecoin back in focus. The bank aims to support always-on settlement of conventional and tokenized Treasuries by 2027, extending a partnership that already made it RLUSD's main reserve custodian.
Ripple's RLUSD stablecoin drew renewed interest after BNY Mellon laid out plans for a 24/7 settlement system covering the U.S. Treasury market. The bank wants to enable round-the-clock traditional and tokenized Treasury transactions over the next few years.
BNY Mellon maps a path to always-on Treasuries
A client letter published on Wednesday said the bank had already executed after-hours Treasury transactions with stablecoin issuers earlier this year. Before the end of 2026, it plans to release tokenized U.S. Treasuries and begin pilot transactions on its private blockchain. BNY Mellon then aims to fully support "always-on" settlement of conventional and tokenized Treasuries in 2027.
Ripple welcomed the step publicly. Jack McDonald, the company's Senior Vice President of Stablecoins, marked the milestone on X: "Excited to be partnering together as $RLUSD helps support the evolution toward always-on Treasury markets".
A deepening Ripple and BNY Mellon partnership
The update lands just weeks after BNY Mellon became the main reserve custodian for Ripple USD. Under the agreement, the bank safeguards RLUSD's reserves and provides transaction banking for its operations, and supplies the infrastructure linking the stablecoin to conventional financial systems.
Ripple issued RLUSD under a New York Department of Financial Services Trust Company Charter. The company built the stablecoin for enterprise rather than retail payments, and says it focuses on regulatory compliance, transparency, and utility for financial institutions. Ripple positions the token as a way to speed up cross-border settlement while cutting transaction costs for businesses moving between markets.
Source: CoinGape
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