Ripple Successfully Completes Acquisition of Standard Custody & Trust, Boosting Offerings and Compliance Standards
Ripple has finalized the acquisition of the reputable digital asset custodian, Standard Custody & Trust Company. Following the completion of all necessary regulatory approvals, Ripple has achieved a significant milestone.
The company is now focused on enhancing its existing product range while also introducing new offerings, including stablecoins, to underscore its commitment to regulatory compliance.
Renowned blockchain researcher Collin Brown commended Ripple’s efforts, highlighting the company’s dedication to bridging the gap between blockchain and traditional finance.
Exciting News: #Ripple Wraps Up Standard Custody Acquisition and Prepares for Stablecoin Launch with Jack McDonald Appointed as the New SVP of Stablecoins!
Having secured regulatory green lights, Ripple is expanding its product line to incorporate stablecoins, signaling…
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— Collin Brown (@CollinBrownXRP)
June 11, 2024
Ripple Strengthens Regulatory Compliance
Through the acquisition, Ripple has added a trust company regulated by the New York Department of Financial Services to its comprehensive licensing portfolio. This portfolio includes approximately forty money transmitter licenses in the US, a Major Payment Institution License from the Singaporean Monetary Authority, and a Virtual Asset Service Provider (VASP) registration with the Central Bank of Ireland.
By bolstering its blockchain and digital asset solutions, Ripple is better equipped to serve institutional clients in areas such as tokenization, storage, transfer, and value exchange.
Introduction of a USD-Backed Stablecoin
In conjunction with the acquisition, Ripple has announced its plans to launch a stablecoin backed by the USD. This initiative marks a crucial step in bridging blockchain technology with traditional banking systems. The demand for stablecoins is on the rise due to their stability, reliability, and practical applications.
To meet this growing demand, Ripple aims to leverage its expertise to develop financial solutions for global organizations. The new stablecoin, to be issued on the XRP Ledger, will enable a variety of financial applications for developers, users, and enterprises, while also enhancing liquidity for XRPL’s decentralized exchange (DEX).
Jack McDonald, who continues to serve as CEO of Standard Custody, has been appointed as Senior Vice President of Stablecoins at Ripple to lead the stablecoin project. With over 30 years of experience in fintech, asset management, financial services, and investment banking, Jack McDonald brings a wealth of knowledge to the role.
Continued Expansion and Progress
The acquisition of Standard Custody follows Ripple’s previous acquisition of Metaco, a leading provider of institutional digital asset custody systems, in May 2023.
These acquisitions underscore the growing importance of digital assets, which encompass tokenized real-world assets such as equities, bonds, and commodities, as well as stablecoins and central bank digital currencies (CBDCs).
Ripple remains committed to leveraging its strong financial position to pursue strategic acquisitions, solidifying its position as a frontrunner in enterprise blockchain technology.
At present, according to CoinMarketCap, the price of XRP stands at approximately $0.4838, reflecting a 2.66% decline over the last 24 hours and a 7.42% decrease during the past 7 days.