Digital asset infrastructure provider Copper has added Ripple’s U.S. dollar-pegged stablecoin, RLUSD, to its Stablecoin Rewards Program.
The integration makes it possible for Copper’s institutional clients to earn yield on RLUSD while holding the asset within the firm's custodial environment.
Enterprise clients will not have to bother interacting with various decentralized finance protocols since they can generate yield via the custody platform.
RLUSD, which is issued natively on both the XRP Ledger and the Ethereum network, is backed by a combination of U.S. dollar deposits and cash equivalents. The red-hot stablecoin was rolled out by Ripple in late December, swiftly becoming one of the top regulated stablecoins.
The growing roster of stablecoins supported in Copper’s yield program already includes USDC, USDe, USDtb, PYUSD, USX, and USDG.
Growing demand
Traditional financial institutions increasingly demand regulated digital dollar instruments that come with secure collateral management.
"Regulated stablecoins, with secure custody and efficient collateral management, will play a critical role in accelerating the institutional adoption of digital assets,” said Copper CEO Amar Kuchinad.
According to Kuchinad, RLUSD meets the firm's institutional standards for security and transparency.
Aditya Turakhia, Ripple's Vice President of Trading and Markets, stated that the partnership places regulated stablecoin liquidity "at the centre of the infrastructure businesses already rely upon."
Dan Burgin
