Ripple finalizes acquisition of Standard Custody and appoints Jack McDonald as senior vice president of Stablecoins

Earlier this year, Ripple revealed its plans to acquire Standard Custody & Trust Company, a regulated custodian of digital assets. After obtaining all necessary regulatory approvals, the acquisition was finalized. This significant move strengthens Ripple’s existing offering and opens the door to new opportunities such as stablecoins, all while maintaining its commitment to regulatory compliance. Ripple’s strategy emphasizes working with global regulators to integrate blockchain into the global financial infrastructure.

Earlier this year, Ripple announced its intention to acquire @StandardCustodyand today we are pleased to announce that the acquisition has been completed!

Learn how this deal enables Ripple to continue building the Internet of Value: https://t.co/pS3QxeOOWm

— Ripple (@Ripple) June 11, 2024

Strengthening regulatory compliance and infrastructure

The completion of this acquisition introduces a limited liability trust company regulated by the New York State Department of Financial Services to the Ripple wallet. Ripple currently holds nearly 40 money transfer licenses across the United States, a major payment institution license with the Monetary Authority of Singapore, and a Virtual Asset Service Provider (VASP) registration with the Central Bank of Ireland. This extensive regulatory framework enhances Ripple’s ability to deliver robust blockchain and digital asset-based enterprise infrastructure solutions. These solutions enable better tokenization, storage, transfer and exchange of value for institutional clients.

Introducing stablecoins and improved financial solutions

Following the acquisition, Ripple announced plans to launch a USD-backed stablecoin. This initiative aims to combine blockchain technology with traditional finance, responding to the high demand for stablecoins that offer trust, stability and utility. Ripple plans to leverage its extensive experience in creating real-world financial solutions to meet the needs of this growing market. The new stablecoin, along with XRP, will be used in Ripple’s payment solutions, continuing to serve enterprise customers around the world. Issued on the XRP ledger, the Ripple stablecoin will increase liquidity on XRPL’s native DEX and support a variety of financial applications for developers, users and businesses.

Leadership and Vision with Jack McDonald

Ripple is excited to announce Jack McDonald as the new Senior Vice President of Stablecoins, while he will continue to serve as CEO of Standard Custody. With over 30 years of experience in investment banking, asset management, financial services and digital assets, Jack McDonald brings a wealth of expertise to lead the Ripple stablecoin team. His leadership will play a key role in bringing Ripple coin to market, supporting growth and innovation in the digital asset space.

Expanding custody of digital assets

Standard Custody is Ripple’s second significant acquisition in a year, following its acquisition of Metaco in May 2023. Metaco is known for its institutional digital asset custody solutions. These strategic acquisitions highlight the growing importance of digital assets, including stablecoins, CBDCs and tokenized real-world assets such as stocks, bonds, commodities and real estate. Ripple’s commitment to trust, utility and liquidity aims to unlock access to these new asset classes and the broader token economy, accelerating market development.

Commitment to compliance and customer service

Ripple continues to focus on making strategic acquisitions to strengthen its leadership position in the enterprise blockchain space. By ensuring proper licensing and adhering to regulatory standards, Ripple aims to streamline cross-border payments, digital asset storage, and more. This approach is critical to supporting the institutional adoption of blockchain technology and paving the way for the future of digital finance.