Moody’s Assigns A2 Deposit Rating to Ripple’s RLUSD, Ties Upgrade Path to GENIUS Act
By Unchained
AI summary of the source article
Moody’s Ratings assigned A2 long-term and P-1 short-term deposit ratings to Ripple’s RLUSD stablecoin issued by Standard Custody & Trust Company. The rating reflects reserves predominantly held in cash and short-duration U.S. government assets.
Why it matters
Jack McDonald, Ripple’s senior vice president of stablecoins, stated that RLUSD is “the first stablecoin to have ever received an investment-grade” rating from Moody’s.
Key facts
- Moody’s assigned A2 and P-1 deposit ratings to RLUSD issued natively on XRP Ledger and Ethereum by Standard Custody & Trust Company.
- The stablecoin reserve is predominantly invested in cash and short-duration U.S. government assets, targeting 103% of outstanding tokens with BNY custodying most assets.
- Moody’s indicated potential rating upgrades could be supported by the GENIUS Act taking effect in 2027 or arrangements granting holders priority interest in reserves.
Source excerpt · Unchained
The agency paired it with a P-1 short-term grade and named firmer holder claims on the reserve as one route to a higher rating. The post Moody’s Assigns A2 Deposit Rating to Ripple’s RLUSD, Ties Upgrade Path to GENIUS Act appeared first on Unchained .