Ripple is teaming up with Robinhood to expand distribution of its stablecoin RLUSD. CNBC reported on Oct. 27 that Robinhood will use RLUSD for institutional trade settlement and internal cash management, and the two companies agreed to strengthen links between digital asset trading and fundraising for institutions.

Under the partnership, Robinhood will use RLUSD for institutional trade settlement and push to automate treasury operations using Ripple Treasury infrastructure. It will also expand access to digital asset trading and fundraising through Ripple Prime and Bitstamp, the crypto exchange Robinhood acquired last year.

RLUSD is also set to be listed on Robinhood's trading platform. RLUSD is currently tradable on Bitstamp and Robinhood Chain.

Robinhood is working with Ripple as part of its strategy to become a global financial super app.

Johann Kerbrat (요한 케르브라트), head of Robinhood Crypto, said what drives the development of stablecoins is their utility. He said Bitstamp and Robinhood will use RLUSD for institutional settlement, Ripple Treasury for operations and Ripple Prime for fundraising.

Monica Long (모니카 롱), president of Ripple, said stablecoins have evolved from a tool for crypto trading into core financial infrastructure and their use is expanding to corporate payments and capital markets. She said the partnership focuses on enabling institutions to operate around the clock, secure liquidity and manage capital more efficiently, beyond simple trading.

RLUSD's market capitalisation has exceeded $2.5 billion.