In a significant move to enhance its presence in the United States’ crypto ecosystem, Ripple has announced plans to acquire Standard Custody & Trust Company. This acquisition is not merely a business expansion but a strategic step towards bolstering Ripple’s regulatory framework within the country.

Enhancing Ripple’s Regulatory Footprint

The decision to acquire the New York-based digital asset service provider is expected to grant Ripple exclusive ownership of Standard Custody. More importantly, it will substantially enhance Ripple’s regulatory licenses portfolio, which is fundamental to the company’s operation and expansion. Among these are the coveted trust charter and money transmitter licenses, which are crucial for Ripple to offer a more comprehensive suite of services.

Standard Custody’s Pioneering Licenses

Standard Custody is renowned for its digital asset custody and settlement services, having been one of the early recipients of a New York trust license in May 2021. This acquisition ensures that Ripple can leverage these licenses to achieve its goal of providing a full-fledged service package in the realm of digital assets.

Ripple’s Vision for a Compliant Future

Ripple CEO Brad Garlinghouse took to Twitter to express the company’s vision, stating that the acquisition will not only improve existing product offerings but also pave the way for new products and uses cases, all within a fully compliant framework. To date, Ripple has secured an impressive array of licenses, including nearly 40 U.S. money transmitter licenses and an MPI license from the Monetary Authority of Singapore.

“Being able to provide not just the technology component to financial institutions who want to use blockchain for all types of decentralized financial services, you also need a compliance piece,” explained Ripple President Monica Long. “And so these licenses are really key to us being able to deliver that full end-to-end solution.”

Global Collaborations and Regulatory Ambitions

Ripple’s collaboration with major banks across the globe is already well-established. However, with the strategic acquisition of Standard Custody, Ripple aims to further solidify its regulatory standing. The company is actively seeking to acquire more licenses not only in the US but also in key financial hubs like Singapore, the UK, and Europe, reinforcing its commitment to compliance and innovation in the blockchain and crypto space.