Earlier this year, Ripple announced its intent to acquire Standard Custody & Trust Company, a regulated digital asset custodian. Following regulatory approval, Ripple announced that the acquisition is now complete, and they have concurrently appointed Jack McDonald, CEO of Standard Custody, as Ripple’s Senior Vice President of Stablecoins, bringing extensive experience in investment banking, asset management, and fintech.
Ripple said this strategic move aims to bolster their product offerings and explore new ventures like stablecoins, while emphasising their commitment to regulatory compliance. In April 2024, Ripple announced its plans to launch a USD-backed stablecoin, leveraging its expertise to meet the growing demand for stable and trustworthy digital currencies. The stablecoin, alongside XRP, will be integrated into Ripple’s payment solutions to enhance liquidity and support diverse financial use cases on the XRP Ledger.
The addition of Standard Custody, regulated by the New York Department of Financial Services, enhances Ripple’s licence portfolio, including 40 U.S. money transmitter licences and global regulatory registrations. This strengthens Ripple’s enterprise infrastructure solutions, facilitating tokenisation, storage, and value exchange for institutional customers.
This acquisition follows Ripple’s purchase of Metaco in May 2023, highlighting the increasing significance of digital assets, including stablecoins and tokenised real-world assets. Ripple has said that it remains committed to accelerating market growth by providing trusted, utility-rich, and liquid digital assets, aiming to solidify its leadership in enterprise blockchain solutions and regulatory compliance.
