Ripple is moving closer to a major shift in status by seeking a national bank charter from the U.S. Office of the Comptroller of the Currency. Its intention to operate with full banking privileges could set the company apart from others in the crypto sector. The development is seen by some as a potential boost for XRP and its role in traditional finance.
Alongside the charter filing, Ripple’s subsidiary, Standard Custody, has applied for a Federal Reserve master account. If approved, this account would allow Ripple to hold RLUSD reserves directly with the central bank. Market analysts view this as a major development that cuts out third-party risks and opens the door to increased trust from institutional clients.
According to “XRP Investing,” a known market commentator, “This isn’t just big—it could rewrite XRP’s destiny.” He also mentioned that the issuance of the national bank charter will allow Ripple to rival market leaders such as JPMorgan in terms of regulatory legitimacy.
RLUSD, Ripple’s stablecoin, is currently backed by U.S. Treasuries and aims to be fully regulated under both the OCC and New York Department of Financial Services. If those efforts are approved, it could also become eligible for FDIC insurance, which would set it apart from most other stablecoins currently in circulation.
RLUSD has a market cap of roughly $470 million. That puts it well below USDC, which sits at $62 billion, and USDT, which leads with $158 billion. But the analyst suggested that clearer regulation and direct Fed-level support could narrow this gap quickly.
He also pointed out that unlike USDT and USDC, RLUSD would benefit from direct reserve storage at the Fed. This eliminates counterparty risk, which has often been a concern in the stablecoin sector. Financial institutions looking for regulated options would likely consider RLUSD a safer alternative.
Ripple’s standing would no longer be limited to fintech. If approved, it could become the first blockchain-based company to operate like a traditional bank, managing stablecoins, custody, and settlement through the XRP Ledger. This would not only reinforce XRP’s role in payments but also reshape how financial services are delivered.
The market has responded positively. After the banking announcement, XRP saw a price rise of 3–5%. The analyst believes this is just the beginning. If the charter is approved and the master account is granted, demand for XRP may rise sharply as institutions start using it in practical use cases.
Ripple’s potential status as a full-service bank could also eliminate its reliance on older financial systems. Non-reliance on correspondent banking networks would enable Ripple to compete head-to-head with legacy institutions and process payments faster and cheaper through the XRP Ledger.
The analyst noted, “If Ripple becomes a bank, they redefine what a ‘crypto company’ can be.” In his view, the firm is executing a strategic plan that could bring XRP from the margins into the core of finance. He concluded, “This isn’t hype—it’s regulatory chess. And XRP? It’s the piece that wins the game.”
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