Cash News
Ripple Labs, the San Francisco-based blockchain firm, has introduced new features and integrated compliance functionality that bring bank-grade custody technology to its crypto custodial services, according to an Oct. 10 statement.
Ripple stated that the new features include hardware security module (HSM) options, pre-configured operational and policy settings, as well as advanced anti-money laundering (AML) monitoring to maintain regulatory compliance. The platform also introduces a streamlined user interface for more straightforward navigation of its custodial services.
Ripple’s offering will also allow clients to tokenize real-world assets, such as fiat currencies and commodities, on the XRP Ledger (XRPL). In addition, its clients would gain access to a decentralized exchange (DEX) featuring low-fee trading options.
Aaron Slettehaugh, Ripple’s SVP of Product, highlighted the expansion of Ripple Custody’s capabilities, emphasizing its role in supporting high-growth fintech and crypto businesses. He noted that Ripple’s custody platform integrates security and compliance measures trusted by global financial institutions.
The company plans to release additional compliance integrations to select clients by December 2024, with broader availability expected in early 2025. Pre-configured policies will be accessible starting early next year.
Custodial services market
Ripple explained that this development will allow it to tap into the rapid growth in this custody sector, potentially reaching $16 trillion by 2030.
So, Ripple Custody will help fintech companies, including banks, securely store digital assets for their clients in a compliant and secure environment that adheres to global regulatory standards.
Notably, Ripple has made significant strides in its custody business over the past year following its acquisitions of Metaco and Standard Custody & Trust Company, further strengthening its position in the custody space.
The firm reported that its Custody business has seen a 250% increase in customer growth year-over-year. The service is available in major financial markets, including Switzerland, Germany, France, the UK, the US, Singapore, and Hong Kong.
The firm reported that BBVA Switzerland, Societe Generale – FORGE, DBS, RULEMATCH, Archax, and Futureverse are among its major clients.