In the earlier part of the year, Ripple made public its intentions to acquire Standard Custody & Trust Company, a regulated custodian specializing in digital assets. Now, after obtaining all the required regulatory approvals, the acquisition has been successfully completed. This significant step not only enhances Ripple’s current offerings but also opens up new avenues, such as stablecoins, all while upholding a commitment to regulatory compliance. Ripple’s strategy focuses on working hand in hand with global regulators to seamlessly integrate blockchain technology into the global financial infrastructure.
Earlier this year, Ripple announced its plans to acquire @StandardCustody, and today, we are delighted to confirm that the acquisition has been finalized! Discover how this deal further empowers Ripple to create the Internet of Value:
Strengthening Regulatory Compliance and Infrastructure
With the completion of this acquisition, Ripple now adds a limited purpose trust company, regulated by the New York Department of Financial Services, to its portfolio. Having nearly 40 money transmitter licenses across the U.S., a Major Payment Institution License from the Monetary Authority of Singapore, and a Virtual Asset Service Provider (VASP) registration from the Central Bank of Ireland, Ripple’s regulatory framework is significantly enhanced. This expansion enhances Ripple’s capacity to deliver robust enterprise infrastructure solutions powered by blockchain and digital asset technology, facilitating improved tokenization, storage, transfer, and exchange of value for institutional clients.
Introducing Stablecoins and Enhancing Financial Solutions
Following the acquisition, Ripple has revealed its intentions to introduce a USD-backed stablecoin. This initiative aims to bridge the gap between blockchain technology and traditional finance by meeting the growing demand for stablecoins that offer trust, stability, and utility. Leveraging its extensive experience in creating practical financial solutions, Ripple is set to cater to this expanding market. The new stablecoin, alongside XRP, will be integrated into Ripple’s payment solutions, continuing to serve enterprise clients globally. Issued on the XRP Ledger, Ripple’s stablecoin will enhance liquidity on XRPL’s native DEX and support a range of financial use cases for developers, users, and businesses.
Leadership and Vision with Jack McDonald
Ripple is excited to announce Jack McDonald as the new Senior Vice President of Stablecoins, while he retains his position as CEO of Standard Custody. With over three decades of experience in investment banking, asset management, financial services, and digital assets, Jack McDonald brings a wealth of expertise to lead Ripple’s stablecoin team. His leadership will play a crucial role in bringing Ripple’s stablecoin to market, driving growth and innovation in the digital asset sector.
Expanding Digital Asset Custody
Standard Custody marks Ripple’s second major acquisition in less than a year, following the acquisition of Metaco in May 2023. Metaco is recognized for its institutional digital asset custody solutions. These strategic acquisitions underscore the growing significance of digital assets, including stablecoins, CBDCs, and tokenized real-world assets like stocks, bonds, commodities, and real estate. Ripple’s commitment to providing trust, utility, and liquidity aims to unlock access to these new asset classes and the broader token economy, accelerating market expansion.
Commitment to Regulatory Compliance and Customer Service
Ripple remains steadfast in its commitment to strategic acquisitions to strengthen its leadership in the enterprise blockchain sector. By obtaining the necessary licenses and adhering to regulatory standards, Ripple aims to enhance cross-border payments, digital asset custody, and more. This approach is essential for driving institutional adoption of blockchain technology and setting the stage for the future of digital finance.