Ripple Labs has partnered with Mastercard, WebBank, and cryptocurrency exchange Gemini to begin testing the use of the Ripple USD (RLUSD) stablecoin for credit card settlements on the public XRP Ledger blockchain. As part of this pilot project, the companies are exploring how the stablecoin can optimize transactions and make them faster and cheaper for credit card users.
This is reported by Finway
First Experience of Using a Stablecoin by a Bank for Credit Cards
The pilot program is one of the first attempts to apply a regulated stablecoin for fiat transactions with credit cards on an open blockchain. In this experiment, WebBank, which issues the Gemini Credit Card, is testing the feasibility of using RLUSD for settlements on the XRP Ledger.
According to Ripple Labs, the circulating volume of RLUSD has already exceeded $1 billion. The RLUSD stablecoin operates under the New York Trust Charter and is backed by cash reserves.
“The goal is to bring the speed and efficiency of blockchain to the backend payment processes that consumers already know — particularly in traditional credit card transactions,” explained Ripple Labs President Monica Long.
She emphasized that the implementation of RLUSD allows for the replacement of traditional banking settlement systems, which are typically slow and costly. This reduces the clearing time from several days to nearly instantaneous transfers, which is especially important for international payments.
The Future of Banking Settlements and Integration of Digital Assets
Mastercard highlighted that the pilot project using RLUSD is part of its global strategy to integrate regulated digital assets into payment infrastructure. By August 2025, Mastercard had already integrated stablecoin settlements with USDC and EURC for countries in Eastern Europe, the Middle East, and Africa.
Previously, Gemini and Ripple Labs had collaborated on creating the “XRP version” of the Gemini credit card. If the current RLUSD experiment receives regulatory approval, this model could set a precedent for other payment programs using stablecoins in banking settlements.
The RLUSD stablecoin was introduced in June 2024 as a tool for fast and regulated transactions between banks. It has been tested not only on the XRP Ledger but also on Ethereum. The launch of RLUSD is part of Ripple’s strategy to transform into a multifunctional financial platform, supported by investments of $500 million with a company valuation of $40 billion.
Ripple CEO Brad Garlinghouse noted that the company is actively expanding its collaboration with traditional financial institutions in the areas of custodial services, corporate treasury, and the issuance of new stablecoins.