Standard Chartered’s Dubai branch provides institutions with RLUSD custody, with proposed integration into LMAX trading collateral
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AT A GLANCE
Standard Chartered Bank’s Dubai branch has provided RLUSD custody services, but the proposed integration into LMAX trading collateral framework has not yet launched.
Article
Provided by Standard Chartered Bank’s Dubai branch RLUSD custody services, with proposed integration into LMAX a trading collateral framework
According to BlockBeats,October 12, Standard Chartered Bank’s Dubai branch now provides eligible institutional clients with custody services for Ripple USD stablecoin RLUSD, supporting XRP Ledger issued on RLUSD. Standard Chartered also plans to collaborate with Ripple and institutional trading platform LMAX Group, allowing clients to use RLUSD held with Standard Chartered as collateral for trading on the LMAX platform, without transferring the stablecoins to the trading platform.
Standard Chartered stated that the relevant collateral arrangement has not yet formally launched and remains subject to completion of documentation, testing, regulatory requirements, and internal approvals. The model separates asset custody from trade execution, allowing institutional clients to use stablecoins held at the bank as trading collateral.
This year,January Ripple has provided LMAX with 150000000 USD in financing to facilitate the integration of RLUSD into its institutional trading infrastructure. If implemented, this collaboration would further expand the use of RLUSD in institutional trading collateral scenarios.
In addition, Standard Chartered has recently been expanding its digital-asset custody business. Last week, it announced plans to provide institutional clients in Singapore with custody services for certain cryptocurrencies, stablecoins, and tokenized real-world assets.
Original link https://m.theblockbeats.info/flash/371399
Key points
01
BlockBeats October 12 According to reports, Standard Chartered Bank’s Dubai branch has provided eligible institutional clients with RLUSD custody services.
02
The custody services support XRP Ledger issued on RLUSD。
03
Standard Chartered plans to collaborate with Ripple and LMAX Group, allowing clients to use RLUSD held with Standard Chartered as collateral for trading on the LMAX platform without transferring it to the trading platform.
04
Standard Chartered stated that the collateral arrangement has not yet formally launched and remains subject to completion of documentation, testing, regulatory requirements, and internal approvals.
05
This year January, Ripple provided LMAX with 150000000 USD in financing to facilitate the integration of RLUSD into its institutional trading infrastructure.
06
Last week, Standard Chartered announced plans to provide institutional clients in Singapore with custody services for certain cryptocurrencies, stablecoins, and tokenized real-world assets.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
Institutional clients can currently place eligible RLUSD in custody with Standard Chartered Bank’s Dubai branch. The proposed next step is for these assets to remain in bank custody while being recognized by LMAX as trading collateral. The arrangement remains in preparation and has not been formally put into operation.
Why it matters to readers
If the relevant arrangement is implemented,RLUSD would gain an additional use case as institutional trading collateral, while separating asset custody from trade execution. However, the original article did not disclose the actual scale of adoption or trading volume.
This indicates that stablecoins may be used by institutions as trading margin, but only certain services are currently available, and the LMAX collateral functionality has not yet launched; the plan should not be treated as already implemented.
Risks and unknowns
It remains uncertain whether the collateral arrangement can complete documentation, testing, regulatory requirements, and internal approvals.
The timing of the formal launch of the arrangement was not disclosed.
The specific scope of clients eligible to use the collateral arrangement, trading volume, and extent of adoption were not disclosed.
The original article did not provide official announcement links from Standard Chartered, Ripple, or LMAX.
Related Developments
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Related concepts
Stablecoin
An asset that seeks to track a reference value and is subject to risks including depegging, reserves, and redemption.
An asset provided by a counterparty to guard against potential losses, which may be liquidated in the event of default to compensate the lender for its loss.
