The blockchain and crypto company Ripple will become the owner of the regulated platform for digital assets Standard Custody & Trust Co.
Information about the deal to acquire the mentioned platform was made public last Tuesday, February 13, by the specified crypto firm. Currently, there is no data on the terms of implementation of the business agreement. There is also no information about the closing dates of the deal.
The acquisition of Standard Custody & Trust Co. is an important decision for Ripple, the significance of which will manifest itself on several levels and aspects of the brand’s existence. Joining the ownership structure of the digital asset platform will strengthen the company’s position in the crypto industry. Also, the implementation of the deal will make Ripple a more significant player in the sphere of the blockchain. Moreover, in this case, the company will expand its portfolio of regulatory licenses.
The limited purpose trust charter of the digital asset platform and its money transmitter licenses will contribute to Ripple’s existing product line. The new owner of Standard Custody & Trust Co. will be able to develop new products and have the legal capacity to expand its functional system.
Ripple President Monica Long says that the company is committed to enabling businesses to take advantage of blockchain technology. In this case, special attention should be paid to the fact that the firm offers access to the mentioned technology in different applying scenarios.
Ripple’s statement confirms the specified pursuit and notes that the company and the digital asset platform that will become its property intend to create institutional-grade solutions for tokenization, storage, movement, and exchange of values. In this statement, the firm also declares that the business concept, which provides for expanding the license portfolio and making reasonable acquisitions, allows for good opportunities to use the current market conditions and further strengthen corporate solutions for the crypto infrastructure.
Last May, Ripple acquired Metaco, a developer of a custody solution. The company has also established partnerships with banks such as HSBC, BBVA, and Zodia Custody. Moreover, the firm has decided to expand its payment offer to new markets, including African countries.
Ripple, as part of the efforts implemented over the past years, has been able to double its core business in the sphere of payments and depository services. The company currently supports real-time commercial custody offerings in 20 regulatory jurisdictions and facilitates payment transactions in 70 countries around the world.
Ripple plans to expand its payments business in the United States. Currently, 90% of the company’s business is conducted outside the mentioned country. The firm aims to strengthen its presence in the domestic market.
W. Oliver Segovia, senior director of Ripple and head of product marketing, announced his intention to present updates to the company’s solutions based on money transmitter licenses. These proposals will cover most US states.
Ripple has updated its solution designed for cross-border payment transactions. This product of the company is called Ripple Payments. The mentioned update is an important part of the company’s expansion plans. Ripple Payments provides consumers with the opportunity to use blockchain technology and provides expanded access to the company’s global network, which includes more than 70 cryptocurrencies and traditional payment markets. The update provides almost 100% coverage of payments worldwide through a single onboarding process.
Ripple is also implementing the specified solution for a wider customer base, which includes, among others, small and medium-sized businesses. The company currently has more than 30 licenses in the United States.
As we have reported earlier, Ripple CEO Criticizes SEC for Failed Mission to Protect Investors.
