Mastercard Tests Settling Credit Card Payments on XRP Ledger in First-of-Its-Kind Pilot

Edyme

November 6, 2025

Gemini CFO Dan Chen added that the initiative is meant to show how stablecoin-based settlement can be integrated “into an active card program

The worlds of traditional finance and blockchain are getting a little closer again, this time through a three-way collaboration involving Mastercard, Ripple, and Gemini.

The companies announced a joint initiative that will explore whether credit card payments can be settled using a regulated U.S. dollar–backed stablecoin, Ripple USD (RLUSD), on the XRP Ledger (XRPL).

If the pilot moves forward as planned, it could become one of the first examples of a U.S. bank settling fiat card transactions on a public blockchain using a compliant stablecoin.

How the pilot works and why it matters

According to the announcement, the project brings together four key players: Mastercard, Ripple, WebBank, and Gemini. WebBank, the issuer of the Gemini Credit Card, would handle the settlement process while RLUSD moves across XRPL rails instead of traditional banking infrastructure.

Mastercard said the initiative fits into its broader strategy of testing blockchain-based settlement in a fully regulated environment.

“Through our partnerships with Ripple, Gemini, and WebBank, we’re using our global payments network to bring regulated, open-loop stablecoin payments into the financial mainstream,” said Sherri Haymond, Mastercard’s Global Head of Digital Commercialization.

The company emphasized that the experiment aligns with its existing stablecoin policies, which require consumer protections, regulatory clarity, and full-reserve backing.

Ripple called the effort a milestone, saying it bridges traditional card systems with blockchain settlement in a way that financial institutions can actually deploy.

“Once implemented, this will mark one of the first collaborations where a regulated U.S. bank settles traditional card transactions using a regulated stablecoin on a public blockchain,” the company said, noting it builds on earlier work with the Gemini Credit Card’s XRP rewards edition released this year.

Gemini CFO Dan Chen added that the initiative is meant to show how stablecoin-based settlement can be integrated “into an active card program, connecting blockchain innovation to real consumer payments.”

Why RLUSD and XRPL are central to the experiment

RLUSD, which launched in late 2024, is issued under the New York Department of Financial Services (NYDFS) Trust Charter and is fully backed by cash and cash-equivalent reserves.

It has already surpassed $1 billion in circulation, boosted by adoption across DeFi, institutional payment flows, and Ripple’s cross-border settlement products. Ripple says institutional demand for stablecoin rails has grown sharply as banks explore faster settlement options outside legacy systems like SWIFT.

The XRP Ledger, now in its 13th year of operation, is known for low fees and fast confirmations, characteristics Ripple argues make it suitable for settlement at scale. XRP, the native token, continues securing the network, but RLUSD would be the actual asset used for settlement.

Ripple President Monica Long said the pilot reflects a shift in how traditional entities view stablecoins: “Financial institutions around the world are increasingly recognizing the value of blockchain and stablecoins in modernizing how money moves.”

Ripple’s $500M raise signals a bigger institutional push

The news follows Ripple’s newly announced $500 million funding round at a $40 billion valuation, led by firms including Fortress Investment Group, Citadel Securities–affiliated funds, Pantera Capital, and Galaxy Digital.

The company said the capital will be used to expand its custody, stablecoin, and brokerage offerings as more regulated financial institutions enter the sector.

Ripple reports processing over $95 billion in transactions across its network to date, while RLUSD has already become the seventh-largest stablecoin by market cap. “Within that part of the business alone, we’ve doubled our customers quarter on quarter,” Long said at Ripple’s Swell conference in New York.

For now, the Mastercard–Ripple–Gemini pilot still requires additional regulatory approvals before live testing, but integration planning is already underway.