Moody’s Ratings assigned Ripple USD (RLUSD) a long-term rating of A2 and a short-term rating of P-1 on Oct. 27, 2026, a day after Ripple Labs received final US approval to establish a national trust bank. Moody’s assessed the stablecoin’s reserves, liquidity, redemption terms, tokenholder protections, and operational and regulatory risks. According to Moody’s, the issuer aims to hold reserves equal to 103% of tokens in circulation; qualified institutional holders can redeem tokens for dollars at par within two business days.
Moody’s flagged legal risks: RLUSD holders do not yet have direct ownership rights to reserve assets, and its issuer is not fully separated from a potential bankruptcy process. The agency expects the GENIUS Act, set to take effect in 2027, to strengthen holder protections. It warned that weaker collateral, inadequate reserves, or liquidity or redemption problems could trigger a ratings review.
