RLUSD Earns Investment-Grade Ratings From Moody’s

Moody’s Ratings assigned Ripple’s U.S. dollar stablecoin RLUSD an A2 long-term deposit rating and a P-1 short-term deposit rating, both investment-grade marks. The A2 assessment reflects the credit quality and market value of reserve assets, reserve coverage, liquidity and redemption arrangements, alongside custody and structural considerations.

Moody’s said RLUSD’s reserve is predominantly invested in highly liquid, short-duration U.S. government assets and cash. Standard Custody & Trust Company targets 103% reserve coverage, above the minimum associated with the rating. Most reserve assets consist of U.S. Treasury bills, other short-term U.S. government assets and cash held with BNY, an Aa1-rated custodian.

Why it matters

The ratings offer an independent assessment of the assets and arrangements underpinning RLUSD, as stablecoin issuers face growing scrutiny over reserve quality and redemption safeguards. Moody’s also cited the GENIUS Act, set to take effect in January 2027, saying it will strengthen protections for reserves and holders, including shielding required reserves from an issuer’s bankruptcy estate.

Ripple said RLUSD is the first stablecoin to receive an investment-grade rating from Moody’s. The ratings were assigned under the agency’s Stablecoin methodology published in March 2026. Moody’s warned that weaker reserve asset quality or value, lower coverage, or reduced liquidity or redemption capacity could lead to lower ratings.

Market impact

RLUSD launched in December 2024 and has grown to a $2.5 billion market capitalization. Ripple says it is used mainly in its payments infrastructure and as collateral in Ripple Prime. The rating adds a credit-quality signal, but it does not remove the risks Moody’s identified around reserves, liquidity and redemptions.

Earlier this week, Ripple received final approval from the U.S. Office of the Comptroller of the Currency to launch Ripple National Trust Bank. The charter authorizes the bank to manage segregated RLUSD reserves, act as their collateral trustee for holders and provide fiduciary digital-asset custody services.