The partnership should enhance regulatory compliance for Ripple, the issuer of ripple USD (RLUSD), and boost institutional credibility for the company as well as the fast-growing stablecoin industry.

Ripple has teamed up with financial giant BNY Mellon to provide institutional-grade custody for its rapidly growing USD-pegged stablecoin, RLUSD.

The move follows Ripple's application for a national banking license and a Federal Reserve master account to further integrate with the U.S. financial system.