What Ripple’s Federal Master Account Brings for RLUSD

Crypto researcher SMQKE issued a direct response to a recent post by BankXRP, asserting that Ripple’s pursuit of a Federal Reserve master account would allow the reserves backing its U.S. dollar stablecoin, RLUSD, to be held directly within the central banking system.

SMQKE supported the statement by sharing documentation, signaling that the claim was rooted in formal regulatory filings rather than interpretation or speculation.

The post stated that Ripple’s federal master account would place RLUSD reserves directly at the Federal Reserve, adding that the information was documented. The attached image highlights language describing Ripple’s intent to position stablecoin reserves inside the U.S. central banking infrastructure. This move would represent a departure from traditional reliance on commercial banking partners.

Initial Post and Key Assertions

SMQKE’s comment was made in response to a post from BankXRP that referenced Docket No. OP-1877, a Federal Reserve Request for Information concerning the Reserve Bank Payment Account prototype.

BankXRP suggested that approval of a Payment Account for Ripple would allow RLUSD reserves to be held at the Federal Reserve, removing exposure to commercial bank counterparty risk.

According to BankXRP, this structure would enable settlement directly on Federal Reserve payment rails and enhance RLUSD‘s stability profile. The post also linked this potential development to liquidity considerations and XRP’s role in facilitating payment flows across jurisdictions.

Details From the Federal Reserve Submission

The documentation highlighted by BankXRP included a formal comment letter submitted by Ripple Labs Inc. to the Board of Governors of the Federal Reserve System. Dated February 6, 2026, the letter expressed Ripple’s support for the Federal Reserve’s exploration of new account structures tied to digital asset infrastructure.

In the letter, Ripple identified itself as an enterprise blockchain company involved in stablecoins and cross-border payments and outlined its interest in account access that reflects the changing nature of digital finance.

The submission stated that Ripple intends to assist the Federal Reserve in refining the Payment Account prototype to support resilient and efficient payment activity in the United States.

Notably, the text referenced Ripple’s intention to place RLUSD reserves directly in the central banking system, a point emphasized in SMQKE’s post.

Implications of Direct Central Bank Custody

If implemented, holding RLUSD reserves at the Federal Reserve would alter how the stablecoin is secured. Rather than relying on commercial banks to custody reserve assets, the reserves would be maintained at the central bank level. This would change the risk profile associated with reserve management and settlement operations.

SMQKE’s post condensed this outcome into a single conclusion supported by the cited filing. When viewed alongside BankXRP’s explanation, the exchange centers on documented regulatory engagement and clearly states Ripple‘s intention, focusing on institutional access and payment infrastructure rather than market reaction or price implications.

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