Ripple successfully acquired Standard Custody & Trust Company, a regulated digital asset custodian, after receiving all necessary regulatory approvals. This marks a significant milestone for Ripple as it aims to enhance its product offerings and demonstrate a strong commitment to regulatory compliance.
With the acquisition, Ripple now has a trust company under the jurisdiction of the New York Department of Financial Services, adding to its extensive license portfolio that includes various licenses and registrations in the US, Singapore, and Ireland. These regulatory endorsements enable Ripple to better serve institutional clients in tokenization, storage, transfer, and value exchange.
In addition to strengthening its regulatory compliance, Ripple has announced plans to introduce a USD-backed stablecoin, leveraging the XRP Ledger. This project is a crucial step in bridging blockchain technology with traditional banking systems, as stablecoins are increasingly in demand for their stability, trust, and practical use.
To oversee the stablecoin project, Jack McDonald, CEO of Standard Custody, has been appointed as Senior Vice President of Stablecoins by Ripple. With over 30 years of experience in fintech, asset management, financial services, and investment banking, McDonald brings valuable expertise to this initiative.
This acquisition of Standard Custody is Ripple’s second major acquisition in the past year, following the acquisition of Metaco in May 2023. These strategic acquisitions underscore the growing importance of digital assets, including tokenized real-world assets, stablecoins, and central bank digital currencies (CBDC). Ripple plans to continue leveraging its strong financial position to pursue smart acquisitions, further solidifying its position as a leader in enterprise blockchain.
Meanwhile, the XRP price is currently around $0.4838, showing a 2.66% decrease over the last 24 hours and a 7.42% decline over the past 7 days, according to CoinMarketCap.