Bill Morgan, a prominent attorney known for his pro-XRP stance, recently shared an update showcasing the growth of Ripple’s new custody service.
The post, featuring an image from Ripple’s October Custody newsletter, highlighted that the total value of crypto in Ripple’s custody exceeded $652 million, involving 36 different assets.
The breakdown revealed that Bitcoin (BTC), Ethereum (ETH), USDT, and USDC made up 97% of the total value. Specifically, BTC constituted 50% ($326 million), ETH accounted for 25% ($163 million), USDT represented 15% ($97.8 million), and USDC held 7% ($45.6 million). The remaining 3%, approximately $19.5 million, are shared by other assets.
Ripple’s New Custody Service for Banks
In response to the evolving demands of the financial sector, Ripple launched a dedicated custody service for banks and financial institutions. This strategic move aims to provide secure and efficient management of digital assets. The service leverages the XRP Ledger to support the tokenization of real-world assets, ensuring seamless integration and enhanced security.
Ripple’s Custody Service had previously experienced substantial adoption, marked by a 250% increase in new customers year-over-year. Major financial institutions, including HSBC and BBVA Switzerland, have integrated Ripple’s custody service, demonstrating its growing influence in the financial industry.
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Key Features and Strategic Acquisitions
Ripple’s custody service offers a range of advanced features designed to meet the stringent requirements of institutional clients. These include hardware security modules (HSMs) for secure key management, multi-signature capabilities, and transaction screening to ensure compliance with regulatory standards.
Moreover, Ripple has bolstered its custody service through strategic acquisitions. Notably, the Metaco acquisition, a digital asset custody provider, enhanced Ripple’s technological capabilities and expanded its market reach.
Similarly, the acquisition of Standard Custody & Trust Company has strengthened Ripple’s regulatory compliance and operational framework, further solidifying its position in the market.
Ripple’s Strategic Diversification
Ripple’s foray into the custody business marks a significant diversification from its core focus on payment solutions. By providing secure and efficient custody service, Ripple aims to address the growing demand for digital asset management among banks and financial institutions.
This strategic move aligns with Ripple’s vision of enabling seamless and secure financial transactions. Ripple also joined the stablecoin sector with RLUSD and will continue to evolve its offerings to provide the best financial service possible.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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