Ripple Adds RLUSD Off-Ramp for BlackRock’s BUIDL, Could Enhance XRP On-Chain Liquidity

• RLUSD offers 1:1 redemption for BlackRock’s BUIDL fund

• On‑chain exits reduce settlement time versus traditional Securitize bank processes.

• RLUSD market cap ~$742M and grew 8% in the past month vs USDC’s $73.6B market size.

Ripple BlackRock off-ramp: RLUSD 1:1 redemption for BUIDL holders — learn how to redeem and what it means for XRP and institutional liquidity. Read more now.

What is the Ripple BlackRock off-ramp and how does it work?

Ripple BlackRock off-ramp is a redemption path allowing holders of BlackRock’s tokenized money market fund BUIDL to swap 1:1 into Ripple’s stablecoin RLUSD for immediate on‑chain liquidity. The swap is initially available on Ethereum with plans to expand into the XRPL ecosystem to shorten settlement times.

How will fund holders redeem BUIDL to RLUSD?

Redemption is executed through an integration with Securitize that automates conversion from tokenized fund shares to RLUSD on‑chain. Users can opt for the RLUSD exit instead of traditional off‑chain bank settlement, reducing counterparty steps and settlement delay.

Why does RLUSD off‑ramping matter for tokenized funds?

On‑chain off‑ramps like RLUSD reduce settlement friction for tokenized money market funds by eliminating multiple off‑chain steps. This automation improves liquidity, lowers reconciliation overhead for issuers such as BlackRock and VanEck, and enables near‑instant access to stablecoin liquidity for institutional investors.

Ripple [XRP] announced support for off‑ramping BUIDL to RLUSD and said a similar capability for VanEck’s VBILL will arrive soon. Ripple CEO Brad Garlinghouse described the feature as practical utility for users needing fast on‑chain exits.

Integration is executed in partnership with Securitize, the tokenization platform powering VBILL and BUIDL. Historically, redemptions for these tokenized treasury funds required off‑chain settlement via banks, which can add hours or days to a withdrawal.

How has the market reacted and what are the metrics?

Market reaction was muted for XRP price action, which has been driven more strongly by broader macro flows and recent liquidations. RLUSD’s market cap was reported at approximately $742 million with 8% growth month‑over‑month. For context, Circle’s USDC has a market size near $73.6 billion, according to public stablecoin supply data.

Other rival stablecoins such as Ethena’s USDe and PayPal’s PYUSD recorded double‑digit gains over the same period, driven by yield incentives and strategic partnerships. RLUSD launched in December and has focused on institutional integrations to accelerate adoption.

Source: X. Source: DeFiLlama. Source: XRP/USDT, TradingView.

Frequently Asked Questions

How do I redeem BUIDL to RLUSD step‑by‑step?

Open your custody interface, select the BUIDL redemption option, approve the 1:1 swap to RLUSD, and confirm the on‑chain transaction. The process is automated through Securitize for faster settlement than bank exits.

Is RLUSD widely used by institutions?

RLUSD is targeting institutional integrations and has seen accelerated growth since launch, with a market cap near $742M and recent month‑over‑month gains, driven by custody partnerships and on‑chain utility.

Does this replace USDC or other stablecoins?

No. RLUSD provides an additional on‑chain liquidity option alongside established stablecoins like USDC. Each stablecoin serves different custody, regulatory, and liquidity needs for institutions.

Key Takeaways

• Direct on‑chain exit: RLUSD gives BUIDL holders a 1:1 on‑chain redemption option, reducing settlement time.
• Institutional focus: The integration with Securitize targets faster liquidity for tokenized funds and institutional clients.
• Market context: RLUSD’s growing market cap (~$742M) remains small vs large incumbents but shows notable growth since launch.

Conclusion

The Ripple BlackRock off-ramp to RLUSD represents a practical step toward bridging tokenized traditional finance and crypto liquidity. By automating fund redemptions on‑chain, Ripple and partners aim to speed settlement for institutional users while preserving choice among stablecoins. Watch for XRPL expansion and further institutional integrations to measure adoption and impact on liquidity flows.