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San Francisco-based fintech company Ripple is launching a new suite of crypto storage services designed to help banks and financial technology companies securely store and manage their crypto assets.
Ripple expands into crypto asset management
According to CNBC, Ripple plans to introduce a number of features to allow banks and fintech customers to hold and maintain digital tokens. The move is part of a larger push to expand the scope of the budding business under its recently established Ripple Custody subsidiary.
These features include integration with Ripple’s blockchain platform, the XRP Ledger, preconfigured operational and policy settings, and risk monitoring for anti-money laundering compliance. It also comes with a new user interface that is easier and easier to use.
The move will allow Ripple to diversify its services beyond its core payments business. Ripple is widely known for its RippleNet platform, a payments network focused on fast cross-border money transfers between financial institutions.
In an official statement on October 10, Ripple’s Senior Vice President of Products Aaron Threathoe said the new features expand Ripple Custody’s capabilities and provide banks and fintechs with a scalable and secure digital asset custody service. He said it would be available.
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The company also noted that custody is one of its fastest growing businesses. The company’s storage division recorded 250% year-over-year customer growth and currently operates in at least seven countries.
The company plans to enable customers to tokenize real-world assets using the XRP Ledger under the Ripple Custody brand. Clients will also be given access to XRPL’s native decentralized exchange (DEX) for trading tokenized assets with low fees.
Coinbase takes on giants like Gemini
Ripple’s entry into the custody market follows previous acquisitions of Metaco and Standard Custody and Trust Company, aimed at strengthening Ripple’s custody capabilities.
Ripple’s expansion positions it to compete with established cryptocurrency custody companies, which are expected to exceed $16 trillion by 2030. Ripple custody competes with many companies currently offering custody, including Coinbase, BitGo, Fireblocks, and Gemini.
Could XRP finally reach $1?
While Ripple moves further into the mainstream, uncertainty following an SEC appeal earlier this month is weighing on the cryptocurrency XRP.
Therefore, XRP price is witnessing an anemic performance below 60 cents. At the time of writing, the token was trading at around $0.5344, up 0.9% on the day. Following the news of Ripple’s crypto management, crypto watchers are now speculating whether XRP will be able to break through the stiff resistance at $0.64. This level could pose a formidable hurdle, but if the bulls prevail, the token could rise to the elusive $1 level.
Apart from Ripple’s crypto custody push, Canary Capital joins Bitwise in filing S-1 filing with the U.S. Securities and Exchange Commission (SEC), boosting spot XRP exchange-traded fund (ETF) competition. is intensifying.
Market experts believe that a change in SEC leadership or the US administration could speed up the approval of XRP ETFs and other crypto products.
