From CNBC: 2024-10-10 04:11:30

U.S. blockchain startup Ripple launched new services for banks and fintech firms to store digital assets. The move diversifies Ripple beyond its core payment settlement business, aiming to consolidate custody products under one brand, Ripple Custody, to compete with companies like Coinbase and Gemini in the custody space.

Custodians play a key role in the crypto market, safeguarding private keys needed for access to digital assets. The crypto custody market is expected to reach $16 trillion by 2030. Ripple Custody has seen 250% customer growth year-over-year, operating in seven countries with clients like HSBC and Societe Generale.

Ripple plans to allow customers to tokenize real-world assets using XRP Ledger. Integration with XRP Ledger provides firms access to Ripple’s decentralized exchange for faster, low-fee trading. Ripple Custody aims to serve high-growth crypto and fintech businesses with secure digital asset custody, expanding its capabilities for customers.

Ripple acquired firms like Metaco and Standard Custody & Trust Company to boost its crypto custody business. Amidst a SEC appeal of XRP as a security, Ripple faces challenges with the XRP cryptocurrency. Ripple, the largest XRP holder, has long disputed allegations of illegal securities offerings, asserting XRP should not be considered a security.

Read more: Ripple launches crypto storage services for banks in bid to diversify