Ripple Launches ‘Prime Time’ After Hidden Road Acquisition: How This Could Boost RLUSD?
On Friday, Ripple Labs announced the launch of “Prime Time,” following its acquisition of Hidden Road. The firm will now be rebranded as Ripple Prime. The firm confirmed the completion of the acquisition, making Ripple Labs the primary blockchain fee firm to function as a worldwide, multi-asset prime dealer.
How Ripple Prime Is Expected To Enhance RLUSD’s Utility
The acquisition was deemed a logical step, pushed by the synergies between Ripple and Hidden Road, to facilitate the institutional adoption of digital belongings which has been on the rise all year long in a extra favorable regulatory atmosphere beneath the Trump administration.
Ripple’s digital asset infrastructure, which incorporates fee options, crypto custody, and stablecoin services, will improve the choices inside Ripple Prime. Looking forward, Ripple Prime plans to harness blockchain know-how to streamline operations and optimize prices.
Notably, the launch of Ripple Prime is anticipated to considerably increase the utility and attain of Ripple’s stablecoin, RLUSD. Currently, RLUSD is being utilized as collateral for numerous prime brokerage merchandise, with sure derivatives shoppers opting to carry their balances in RLUSD, a pattern anticipated to develop within the coming months.
RLUSD’s regulatory compliance beneath the brand new stablecoin invoice, the GENIUS Act, already signed by President Donald Trump, is alleged to have earned it the belief of establishments, offering additional integration into conventional monetary operations.
In July, RLUSD was acknowledged as the highest stablecoin for stability, governance, and asset backing by Bluechip, which awarded it an ‘A’ score. Additionally, Ripple introduced that The Bank of New York Mellon Corporation (BNY) will function the first reserve custodian for RLUSD.
Five Major Acquisitions Over Two Years
This acquisition is one among 5 main strategic purchases by the blockchain fee firm up to now two years, together with latest acquisitions of treasury administration system supplier GTreasury, stablecoin-based fee platform Rail, Standard Custody, and Metaco.
In addition, the corporate is presently pursuing approval for its nationwide financial institution constitution license within the United States. It joins different corporations, together with, Circle (CRCL), Coinbase (COIN), Sony Bank, Paxos, and Crypto.com, which lately introduced its intent to hunt approval for this utility with the US Office of the Comptroller of the Currency (OCC).
As of this writing, XRP has capitalized on these developments, surging towards $2.70 — a 3% intraday improve. However, the altcoin nonetheless information month-to-month losses of 16%, placing it 32% beneath its all-time high of $3.65 reached earlier this yr.
Featured picture from DALL-E, chart from TradingView.com
