YEREVAN (CoinChapter.com) — Ripple, the cryptocurrency firm currently caught in a legal battle with the US Securities and Exchange Commission, has made a significant announcement. The firm plans to acquire Standard Custody & Trust Company which specializes in digital assets for enterprises.
According to the firm’s announcement, the deal further emphasizes Ripple’s commitment to compliance and product enhancement.
“The increase in institutional adoption of crypto and blockchain is a result of more mature and highly secure products in the market that are fully regulated and compliant. With this acquisition, Standard Custody’s limited purpose trust charter and its money transmitter licenses will contribute to Ripple’s growing portfolio of regulatory licenses,”
the press release reads.
Ripple CEO optimistic about Standard Custody & Trust Company
Ripple CEO, Brad Garlinghouse, also shared his insights on X (formerly Twitter). According to his optimistic outlook, the Standard Custody acquisition will boost Ripple’s offerings and enable new products. He further emphasized that compliance remains a top priority for Ripple.
Per his post, Ripple has achieved substantial regulatory milestones. It has secured nearly 40 US money transmitter licenses and holds significant overseas licenses. These include a Major Payment Institution License from Singapore and a Virtual Asset Service Provider registration from Ireland’s Central Bank.
Ripple Acquistion: XRP community doesn’t buy the optimism
Meanwhile, the XRP community does not seem convinced of the Standard Custody & Trust Company acquisition. For instance, one XRP enthusiast, Mack, voiced concerns over XRP’s market performance.
“This is not enough Brad, sorry to say, but something needs to be done about the XRP price, it has already been structurally too low for the past 5 years. Many people around me are exchanging their XRP for other better performing coins that can do more than just XRP alone,” he wrote on X in response to Garlighouse.
However, another XRP supporter, Bill Morgan, disagreed with Mack’s concerns. He indicated that Ripple leads in crypto payments and custody, highlighting that these regulatory achievements are positive for XRP.
Meanwhile, the XRP price is showing signs of recovery. Over the past week, the token has surged over 5% and currently trades at $0.5395. The controversial altcoin remains 85% below its all-time high of $3.4 from Jan. 7, 2018.
Will adding Standard Custody & Trust Company change Ripple’s fortunes and subsequently help XRP? Time will show. Meanwhile, the skepticism in the community persists.
