Ripple Acquires Hidden Road for $1.25 Billion, Launches Ripple Prime

Ripple Completes Acquisition of Hidden Road

Ripple has finalized its purchase of the non-bank prime broker Hidden Road, rebranding it as Ripple Prime. This acquisition represents a major step for Ripple, broadening its services beyond digital assets.

Ripple Prime: A New Era in Multi-Asset Brokerage

With this acquisition, Ripple becomes the first cryptocurrency firm to operate a multi-asset prime broker, offering a comprehensive suite of services including clearing, financing, and brokerage for digital assets, derivatives, swaps, foreign exchange, and fixed-income products for institutional clients.

Since the acquisition announcement in April, Ripple Prime's business has grown threefold. Ripple anticipates further expansion as both new and existing customers increase their engagement.

Integrating Blockchain into Traditional Finance

Ripple continues to bridge the gap between traditional finance and digital assets by integrating blockchain solutions for banks to facilitate cross-border transactions and other financial operations.

Future Plans for Ripple Prime

Ripple aims to enhance the utility of its Ripple USD (RLUSD) stablecoin within its new business model. The company plans to leverage its foundational digital asset infrastructure, which includes payments, crypto custody, and stablecoin services, to complement Ripple Prime's offerings.

RLUSD is expected to play a pivotal role in this transition, with certain derivatives clients already holding balances in the US dollar stablecoin, which is also used as collateral for various prime brokerage products.

Ripple's Acquisition Strategy

This acquisition is part of Ripple's broader strategy to expand its institutional offerings. Recent acquisitions include treasury management system provider GTreasury and stablecoin-powered payment platform Rail, following previous deals with Standard Custody and Metaco.