Ripple brings back crypto custody service

Ripple brings back crypto custody service for financial institutions

2024-10-10 by Ndaman Olayinka 3 minutes read
Ripple brings back crypto custody service for financial institutions

Leading digital asset infrastructure provider Ripple has announced the addition of new features and functionality to Ripple Custody, enabling fintechs and cryptocurrency companies to take advantage of its industry-leading bank-grade custody technology.

We’re launching new features for Ripple Custody, bringing bank-grade custody solutions to fintech and crypto businesses.

📶 Simplified onboarding
↔️#XRPL tokenization & DEX support
➡️ Pre-configured policy frameworks
▶️ R/T compliance monitoring
↗️ New UIhttps://t.co/gejagnouTS

— Ripple (@Ripple) October 10, 2024

Ripple diversifies beyond its core payment settlement business

The announcement represents Ripple's first major step to combine its custody products under a single brand, Ripple Custody, and compete with numerous firms that currently provide products and services in this market, including Gemini, Coinbase, and Fireblocks. 

Ripple launched its own crypto custody services last year after acquiring Metaco, a company that assists other entities in managing and storing their cryptocurrency. Standard Custody & Trust Company, another cryptocurrency custody company, was also purchased by the company this year. 

The timing of Ripple's diversification attempt is tenuous for XRP. The price of the cryptocurrency XRP fell sharply last week after the U.S. Securities and Exchange Commission filed an appeal against a 2023 court decision that said the token shouldn't be sold to retail investors as a security. 

Ripple Custody division is launching a number of features to allow its banking and fintech customers to retain and manage digital tokens. 

Ripple crypto custody

According to Ripple, custody is one of the startup's fastest-growing markets. This year, Ripple Custody reported a 250% increase in customers year over year and operates in more than 20 countries. Its clients include Societe Generale, DBS, HSBC, and BBVA's Swiss division. 

Ripple Custody service features

Senior VP of product Aaron Slettehaugh told CNBC Thursday that Ripple's new features will help it better serve high-growth fintech and cryptocurrency companies by offering secure and scalable digital asset custody.

These features include a new user interface that is more engaging and easy to use, pre-configured operational and policy settings, integration with Ripple's XRP Ledger blockchain platform, and monitoring of anti-money laundering risks to ensure compliance. 

The integration with its XRP Ledger technology, according to Ripple, will allow businesses to access its own native decentralized exchange, a platform that facilitates faster, low-cost trading by connecting buyers and sellers of various digital assets without the need for middlemen. 

Selected customers will be able to access new compliance integrations in December 2024, and the general public will be able to do so in early 2025. Early in the upcoming year, pre-configured policies will be accessible. 

Disclaimer

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