Ripple and brokerage technology provider DriveWealth plan to use RLUSD for settlement tied to brokerage funding and cross-border payments. Based on the details announced, the plan does not put U.S. stock trades themselves on a blockchain.
- RLUSD settlement on the XRP Ledger is expected to begin in Europe, with a U.S. expansion planned.
- Ripple Payments is intended to support transfers from DriveWealth’s international partners.
- The partnership also includes European digital-asset custody.
- Equity financing through Ripple Prime is still exploratory. No launch date or fees have been disclosed.
What the Partnership Covers
Ripple says the agreement brings RLUSD settlement, cross-border payment support and digital-asset custody into DriveWealth’s brokerage infrastructure. DriveWealth says it serves more than 100 partners worldwide, including fintech firms, digital wallets and financial institutions.
DriveWealth plans to use RLUSD, Ripple’s dollar-backed stablecoin, on the XRP Ledger (XRPL). The integration is expected to include tools to mint and burn the token, meaning issue RLUSD and redeem it. The service is expected to begin in Europe before expanding to the United States. The companies have not announced a timeline.
Ripple Payments is intended to support incoming cross-border transfers from DriveWealth’s international partners. The companies also plan to connect their services so clients can view dollar, stablecoin and cryptocurrency balances in real time and move between them. They have not explained how that connection will work.
For collateral accounts, which hold assets to secure a financial obligation, the companies say stablecoin deposits could be converted into cash in near real time. They have not disclosed how the conversion would work, what liquidity arrangements would be in place, or what fees and operational limits might apply. The agreement also includes digital-asset custody in Europe, with plans to extend support to other markets over time.
The Funding Gap the Companies Want to Address
The companies point to a timing mismatch, though two separate processes are involved. U.S. equities generally settle one business day after a trade, a cycle known as T+1. Brokerage account funding is different: an international dollar transfer may take longer to arrive than the securities settlement cycle.
If funds arrive too late, a firm may need to keep extra capital on hand or wait for transfers to clear. Ripple and DriveWealth say faster stablecoin-based transfers could ease that friction. They have not reported measured savings or processing times, or shown that clients will need to hold less capital.
DriveWealth CEO Naureen Hassan said the company offers 24/5 trading and wants account funding to work on a schedule that supports the service, rather than leaving funds “instead of sitting idle overnight or over a weekend.”
That is the intended benefit, not one the companies have demonstrated. Moving value on a ledger does not, by itself, meet every banking, liquidity, compliance or customer-service requirement involved in transferring funds between traditional accounts and digital assets.
Ripple senior vice president of stablecoins Jack McDonald said the partnership grew beyond its initial focus on cross-border settlement:
“DriveWealth came to Ripple with a specific challenge around cross-border settlement, but it quickly became clear there was an opportunity to do much more together.”
Equity Financing Is Still Exploratory
The settlement, payment and custody services are described as integrations or planned offerings. Equity financing through Ripple Prime’s Delta One business is at an earlier stage. The companies say they are exploring it, but have not announced an agreed product, financing structure or timeline.
Ripple Prime’s existing institutional services provide context, but they do not mean a financing arrangement with DriveWealth is already in place. Clients would need more details to assess the terms, risks and availability of any such product.
Part of Ripple’s Institutional RLUSD Push
The DriveWealth partnership is part of Ripple’s broader effort to build institutional services around RLUSD. Ripple Mint, launched in July, gives approved institutional customers tools to issue, redeem, transfer and monitor RLUSD across supported networks. That platform is separate from the DriveWealth integration. The companies have not said DriveWealth’s services depend on it.
Other RLUSD custody and payment initiatives have also been announced, but each is a separate arrangement with its own terms and timeline. They point to growing institutional interest in stablecoin infrastructure. They do not show that the DriveWealth service is live or that its projected funding benefits have been achieved.
What Remains Unclear
The companies have not named the first DriveWealth partners or clients that will use the service, disclosed fees, or explained how near-real-time cash conversion would work. The European launch date and planned U.S. expansion are also unknown.
For now, the partnership is best understood as infrastructure in development for brokerage funding, transfers and custody. It does not show that cross-border delays have been eliminated or that U.S. equity trades will settle on the XRPL.
Key Questions and Answers
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What does RLUSD settlement mean for DriveWealth?
DriveWealth plans to use RLUSD on the XRP Ledger for settlement tied to brokerage funding and transfers. The companies have not said the securities leg of U.S. equity trades will settle on-chain.
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Where will the service begin?
It is planned to begin in Europe, with a U.S. expansion to follow. No launch dates have been announced.
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Why could faster transfers matter?
The companies say international dollar transfers can take longer than the one-business-day settlement cycle for U.S. equities, potentially tying up capital. They have not disclosed measured savings or processing times.
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Is equity financing part of the deal?
The companies are exploring financing through Ripple Prime’s Delta One business, but they have not publicly agreed on a product or its terms.
