Ripple & Securitize Enable Instant BUIDL/VBILL to RLUSD Swaps

The collaboration between Ripple and Securitize introduces a sophisticated smart contract mechanism that allows investors in BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL) and VanEck’s Treasury Fund (VBILL) to exchange their tokenized shares for Ripple USD (RLUSD) instantly. This development addresses a critical need in institutional finance by providing around-the-clock access to liquidity while ensuring investors continue to earn yield from their tokenized treasury assets. The immediate availability for BUIDL conversions, with VBILL support expected shortly, creates a seamless bridge between traditional investment vehicles and the evolving digital asset ecosystem.

According to Ripple’s senior vice president Jack McDonald, RLUSD was specifically engineered for institutional use cases, combining stability, compliance, and operational efficiency. “How do you unlock real-time liquidity for institutional assets? With $RLUSD,” McDonald emphasized in the company’s announcement. This strategic move strengthens tokenized assets’ role in connecting traditional finance with on-chain markets, particularly as major institutions like BlackRock and VanEck continue their blockchain integration through publicly issued tokenized funds.

RLUSD’s design prioritizes institutional-grade compliance and security. Each token maintains a 1:1 backing by high-quality liquid assets, managed under strict reserve requirements and protected by regular third-party attestations. The stablecoin operates under the oversight of a New York Department of Financial Services (NYDFS) Trust Company Charter, providing clear redemption rights and regulatory safeguards that meet institutional standards. This robust framework has contributed significantly to RLUSD’s rapid market acceptance, with the stablecoin achieving over $700 million in market capitalization since its late 2024 launch.

Carlos Domingo, CEO of Securitize, described the partnership as a breakthrough for automating liquidity in institutional finance. “This collaboration represents a significant advancement in making institutional assets more accessible and liquid,” Domingo noted. The integration marks RLUSD’s first implementation on Securitize’s platform, establishing a foundation for future tokenized product offerings. The combination of regulatory compliance and technical innovation positions RLUSD as a trusted intermediary between traditional finance and decentralized ecosystems.

The partnership extends beyond immediate conversion capabilities, with Securitize bringing RLUSD to the XRP Ledger (XRPL). This expansion significantly broadens access for developers and institutions operating within Ripple’s ecosystem, enabling more sophisticated DeFi strategies and cross-border payment solutions. The integration allows both traditional investors and DeFi participants to move seamlessly between on-chain and off-chain assets, enhancing the utility of tokenized short-term treasury funds while maintaining exposure to underlying yields.

RLUSD’s growing adoption spans multiple use cases, including DeFi platforms, liquidity pools, and Ripple’s own cross-border payment solutions. The stablecoin serves as a reliable on- and off-ramp for enterprises seeking faster settlement times and more efficient treasury management. As tokenization continues to gain momentum in traditional finance, RLUSD’s integration with established products like BUIDL and VBILL demonstrates the increasing convergence between blockchain technology and institutional asset management, setting the stage for broader adoption across financial markets.