Ripple, the company behind the XRP altcoin, is owned by Standard Custody & Trust Co., a company with a New York trust charter. announced that he plans to acquire the company. This acquisition is Ripple's latest move to expand its regulatory credentials in the US.
The deal, which is still awaiting approval from the New York regulator, could allow Ripple to expand its business operations in the US and possibly expand beyond its well-known role as a payment network. This is Ripple's second recent acquisition of a custody company.
Despite Ripple's focus overseas and its ongoing legal dispute with the US Securities and Exchange Commission (SEC), the company is still trying to expand its capacity in the US. Standard Custody & Trust Co. The limited purpose trust agreement held by Ripple could enable Ripple to offer more in-house services, including to financial firms looking to tokenize assets.
Ripple President Monica Long said the following in her statement:
“We want to provide more and more infrastructure services to these financial institutions. “We think this gives us a lot of flexibility.”
Standard Custody & Trust Co. The agreement, the terms of which were not disclosed, will add a cryptocurrency storage and payment activity to the services offered by Ripple. This will allow customers to deposit with Ripple instead of having to go to an outside company.
Ripple is known in the US for its legal battle with the SEC over accusations that XRP is a security. Although a judge ruled largely in Ripple's favor, the case will continue to be heard in higher courts.
Long noted that the company's hesitations regarding the US are related to regulatory uncertainty over digital assets rather than this specific dispute. “But the United States is a large market, and we believe it is possible for the United States to emerge as a leader driving innovation,” Long said.
*This is not investment advice.
DRPis live
XRP genius…had a literal drr drr drr moment