RLUSD: Ripple and Mastercard Explore Fiat Settlements

Ripple, Mastercard, WebBank and Gemini have teamed up to explore faster settlements of fiat currencies using publicly available blockchain systems. 

The collaboration will explore the use of Ripple’s blockchain, XRPL, to facilitate the settlement of traditional card payments.

The move aims to expand decentralised finance by including stablecoins in traditional settlement processes.

Momentum in the stablecoin landscape 

As part of their collaboration, Ripple’s ledger XRP (XRPL) will be used by regulated bank WebBank and Gemini to settle fiat transactions. 

Sherri Haymond, Global Head of Digital Commercialisation at Mastercard, says: “Through our partnerships with Ripple, Gemini, and WebBank, we’re using our global payments network to bring regulated, open-loop stablecoin payments into the financial mainstream.” 

“Guided by our commitment to consumer choice and a principled approach to stablecoins – one that emphasises strong consumer protections, a level playing field, and full regulatory compliance – we’re enabling settlement today while exploring how stablecoins can support future use cases.”

The move signifies a continued interest in bringing decentralised finance processes into mainstream finance markets. 

Settlement rails expanding for stablecoins 

The partnership aims to explore stablecoin use cases in what will be among the first few collaborations with a regulated US bank. 

Fiat transactions will be settled on Ripple’s XRPL, a public blockchain that has been in existence for over a decade. 

The ledger serves as an inexpensive and secure way to provide fast and efficient processing for transactions, and relies on dollar-backed Ripple-USD (RLUSD), launched late in 2024.

“Financial institutions around the world are increasingly recognising the value of blockchain and stablecoins in modernising how money moves,” says Monica Long, President of Ripple.

“This partnership is a meaningful step toward showcasing how regulated digital assets like RLUSD can enhance settlement, paving the way for other card programmes to adopt stablecoins for faster, compliant payments. 

“The XRPL will serve as the backbone for these and other institutional use cases that are transforming how financial services operate.”

Subject to regulatory approvals, initial integrations within existing Mastercard and WebBank settlement processes will occur within the coming months, exploring settlements on the Gemini Credit Card. 

Gemini first collaborated with Mastercard and WebBank back in 2021 for the Gemini Credit Card. 

WebBank was named the issuer of the card, while Gemini named Mastercard its exclusive network partner. 

The partnership will focus on settling fiat currency for transactions made on the Gemini Credit Card. 

Earlier in the year, Gemini launched an XRP edition of its card, enabling cashback in stablecoin for members. 

Dan Chen, Chief Financial Officer at Gemini notes: “Through the Gemini Credit Card, we’re advancing the way that digital assets are integrated into everyday spending.

“In this next phase of the collaboration, we’re demonstrating how stablecoin settlement can be applied to an active card programme, connecting blockchain innovation to real consumer payments.”

The company pairs digital assets, provided by Ripple, into mainstream finance and traditional cashback programmes. 

Shifting focus: Stablecoin addresses market needs 

Today, banks are demonstrating increasing involvement in the stablecoin revolution, as experts weigh in on how priorities have shifted from cost reduction to speed prioritisation. 

Stablecoin settlements provide both, and in the post-GENIUS wave, financial organisations are running to catch up to facilitate crypto implementation. 

Jason Lloyd, President and CEO, WebBank says: “Banks are uniquely positioned to bridge innovative blockchain technology with the stability of the traditional financial system. 

“Our collaboration with Mastercard, Gemini and Ripple allows us to explore how stablecoins like RLUSD can make institutional payments faster and more efficient while maintaining the security and dependability customers expect from banks.”

In a recent report, stablecoins were found to have processed more than US$45tn in transaction volume over the past 12 months. 

In total, this exceeds the amount processed by Visa and Mastercard individually. 

RLUSD has already grown to over US$1bn in circulation, demonstrating the fast pace at which adoption is moving.