Ripple has signed a $1.25 billion agreement to acquire Hidden Road, a global prime brokerage platform. The deal marks one of the largest mergers in the crypto space and signals Ripple’s expansion into institutional finance infrastructure.
With this move, Ripple becomes the first cryptocurrency company to own a multi-asset prime broker operating at a global scale.
Understanding Ripple’s $1.25 Billion Acquisitions
Hidden Road serves over 300 institutional clients and clears around $3 trillion in trades each year across markets, including foreign exchange, digital assets, derivatives, and fixed income.
The acquisition aims to address a key gap in the crypto sector: reliable infrastructure for institutional investors.
By integrating Hidden Road’s services, Ripple plans to offer financial institutions a complete suite of trading and clearing tools that meet traditional finance standards.
Ripple’s large balance sheet will give Hidden Road the capital to grow its services and scale operations globally. The company is expected to become one of the largest non-bank prime brokers as it expands access to both digital and traditional markets.
The deal also strengthens Ripple’s RLUSD stablecoin. Hidden Road will adopt RLUSD as collateral across its brokerage products. This will make RLUSD the first stablecoin to support cross-margining between crypto and traditional asset classes.
As part of the integration, Hidden Road will shift its post-trade processes to the XRP Ledger. This move will cut operating costs and highlight the blockchain’s ability to support institutional-grade decentralized finance.
Ripple also plans to extend digital asset custody services to Hidden Road clients, reinforcing its push into enterprise payments and asset management.
What Does It Mean for XRP Ledger?
In recent months, the XRP community has raised concerns about the network’s underutilization despite its high market capitalization.
As of March, XRP Ledger recorded just $44,000 in daily decentralized exchange (DEX) trading volume—an extremely low figure compared to other major blockchains. The network also lags behind in node distribution, validator count, and smart contract engagement.
So, Ripple’s acquisition of Hidden Road directly addresses the XRP Ledger’s ongoing utility concerns.
As Hidden Road shifts post-trade operations to XRPL and uses Ripple USD (RLUSD) as collateral, this will increase on-chain activity, boost DEX trading volume, and improve total value locked (TVL).
The migration also encourages institutional participants to interact with the ledger, potentially driving up validator participation and smart contract usage.
This real-world integration might strengthen XRPL’s practical utility and drive more engagement on the network.
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