- Ripple’s acquisition of Hidden Road enhances its commitment to institutional markets.
- The $1.25 billion deal strengthens XRP Ledger’s market position.
- Post-trade activities will be migrated to XRPL for better efficiency.
Ripple Labs has acquired Hidden Road for $1.25 billion, positioning the XRP Ledger as a significant platform for institutional finance, targeting April 2025 for full operational integration.
The acquisition enhances Ripple’s ability to provide digital infrastructure to institutional clients, boosting XRP’s market potential significantly.
Hidden Road’s leadership, headed by CEO Marc Asch, will continue to remain in place post-acquisition. Ripple plans to expand its offerings using Hidden Road’s U.S. broker-dealer license, now inclusive of FINRA approval, ensuring regulatory compliance.
The acquisition led to a 19% increase in XRP’s price due to anticipated institutional adoption. Ripple will introduce new services, attracting substantial institutional liquidity via the XRP Ledger.
Marc Asch, Founder and CEO, Hidden Road, “With new resources, licenses, and added risk capital, this deal will unlock significant growth in Hidden Road’s business, allowing us to increase capacity to our customer base, expand into new products, and service more markets and asset classes. Together with Ripple, we’re bringing the same level of trust and reliability that institutional clients are accustomed to in traditional markets — designed and optimized for a digital world” – CoinGape.
This deal signals Ripple’s pivotal role in reducing costs and boosting efficiency for institutional transactions. Institutional finance integration through XRP is expected to drive future growth, characterized by increased tradition-to-digital finance movements.
Ripple’s investment in Hidden Road is projected to yield substantial returns with a focus on technological advancements and regulatory compliance advantages. Historical events indicate potential market expansions similar to previous financial integrations witnessed in the sector.
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