Ripple has announced a partnership with Mastercard, Gemini, and WebBank to test the use of its RLUSD stablecoin to settle credit card payments denominated in US dollars. The program will use the XRP Ledger (XRPL) as the settlement network and will begin once regulatory approval is obtained.
Ripple said the collaboration is designed to test how blockchain-based settlement can support faster fund transfers and clearer liquidity tracking between payment processors and issuing banks.
A company spokesperson said all partners are working “under a regulated framework” and will proceed only once U.S. financial regulators grant approval.
How the integration will work
Under the plan, the Mastercard network and WebBank, which issues the Gemini credit card, will use RLUSD to settle part of the transaction settlement process.
The initial experience for customers will remain the same (users will still make payments in fiat currency), but interbank clearing and settlement will be done through the XRP Ledger instead of traditional banking rails.
The project builds on a previous partnership between Ripple and Gemini, which launched a crypto rewards credit card pegged to XRP earlier this year. That card allows customers to earn XRP tokens with purchases, instead of cash or points.
In this new pilot, all Gemini credit card products, including versions linked to Bitcoin and Solana, could eventually settle RLUSD transactions on the XRPL once testing begins.
Ripple said using RLUSD for settlement could shorten clearing times from several business days to near real-time, improving liquidity between issuers and networks.
Structure and supervision of stablecoins
RLUSD, Ripple’s US dollar-backed stablecoin, launched in December 2024 on both Ethereum and XRP Ledger. It now has a market capitalization of over $1 billion, making it the 11th largest stablecoin globally, according to data from DeFiLlama.
The token is regulated by the New York Department of Financial Services (NYDFS), with BNY Mellon acting as custodian of the dollar reserves.
Ripple has positioned RLUSD as a regulated settlement asset for banks, payment networks, and tokenized asset platforms.
In September 2025, RLUSD was added to Securitize’s institutional tokenization platform, where it began to be used in the exchange of tokenized money market funds.
Mastercard and the role of Gemini
Mastercard has spent several years testing blockchain settlement layers and tokenized deposits within its own network infrastructure.
The company said this collaboration with Ripple will help evaluate how regulated stablecoins can work within its settlement systems without disrupting the way customers use their credit cards.
Gemini and WebBank will support the pilot’s banking and card issuing functions. Gemini credit cards currently offer rewards in several cryptocurrencies, and this pilot would add RLUSD as a settlement currency on the back-end.
Ripple said the approach could give card issuers “greater transparency and faster reconciliation between institutions” while maintaining full compliance with US financial regulations.
Ripple’s regulatory and financial position
Ripple recently raised $500 million in new capital at a valuation of $40 billion, a funding round it said will help strengthen compliance operations and build regulated payments infrastructure in the US.
The company described the RLUSD pilot with Mastercard and Gemini as part of its plan to demonstrate that stablecoins can operate safely within existing banking rules, not outside of them.
Unlike offshore stablecoins like USDT, RLUSD is fully backed by US dollar reserves held at BNY Mellon and operates under a license from the New York Department of Financial Services (NYDFS).
This structure allows the token to be used by banks and card issuers that cannot hold or settle transactions in unregulated assets.
Trading data showed that XRP, the digital asset associated with Ripple’s settlement network, was trading at $2.26, down 2.6% in 24 hours.
Ripple has repeatedly stated that RLUSD and XRP have separate purposes: XRP functions as a bridging asset for cross-border transfers, while RLUSD is designed as a stable settlement currency for banks and payment companies.
If the Mastercard and WebBank integration goes ahead, it would mark the first deployment of a US-regulated stablecoin for conventional credit card clearing, a development that could prompt other issuers to adopt similar on-chain settlement models.
Also read: Ripple deposits $1.5 billion in XRP as the token turns 13: price drops 7% in 24 hours