Ripple Labs Inc says it has successfully completed the acquisition of Standard Custody, an enterprise-grade regulated custodian for digital assets. The procurement, which marks a notable milestone in Ripple’s expansion strategy, was sanctioned by all necessary regulatory authorities.
Enhancing Product Portfolio and Regulatory Compliance
Notably, Ripple’s existing product portfolio has received a significant boost and opens avenues for new offerings, including stablecoins, with a strong emphasis on regulatory compliance. The addition of Standard Custody to Ripple’s regulatory licenses portfolio further reinforces the company’s commitment to conformity.
Earlier this year, Ripple announced its intent to acquire @StandardCustody, and today, we’re pleased to share that the acquisition is now complete!
Learn how this deal further enables Ripple to deliver on building the Internet of Value:https://t.co/pS3QxeOOWm
— Ripple (@Ripple) June 11, 2024
As per Ripple, Standard Custody’s acquisition further serves as a boost to the company’s strategic vision of integrating blockchain technology in its ecosystem. It is expected that it will enhance traditional finance processes, and offer stability, trust, and utility to its users.
With the Standard Custody deal sealed, Ripple is set to launch a USD-backed stablecoin. The stablecoin will be issued on the XRP Ledger, contributing to increased liquidity on XRPL’s native DEX and supporting a variety of financial use cases for developers, users, and businesses.
Ripple plans to leverage its extensive experience in building financial solutions to meet the growing demand for stablecoins.
Ripple and Standard Custody to Fuel Blockchain Adoption
To ensure a seamless governance structure, Ripple has appointed Jack McDonald to serve as Senior Vice President of Stablecoins. He will however continue to function in his capacity as CEO of Standard Custody.
McDonald has over 30 years of experience in investment banking, asset management, financial services, and fintech. He also brings on board extensive knowledge to lead Ripple’s stablecoin initiative. As per the announcement, McDonald’s expertise will be instrumental in bringing Ripple’s stablecoin to market and driving its adoption.
Overall, Ripple is poised to expand its offerings from cross-border payments to digital asset custody. This will further pave the way for greater institutional adoption of blockchain technology.
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