YEREVAN (CoinChapter.com) — Ripple, the cryptocurrency company currently engaged in a legal battle with the U.S. Securities and Exchange Commission, has made an important announcement. The company plans to acquire Standard Custody & Trust Company, a company specializing in digital assets for enterprises.
According to the company’s announcement, this transaction further highlights Ripple’s commitment to regulatory compliance and product enhancements.
“The growing institutional adoption of cryptocurrency and blockchain is a result of more mature and secure products in a fully regulated and compliant market. Through this acquisition, Standard Custody’s limited purpose trust charter and money transfer license will contribute to the growth of Ripple’s regulatory license portfolio.”
reads the press release.
Ripple CEO Is Bullish About Standard Custody & Trust Company
Ripple CEO Brad Garlinghouse also shared insights about X (formerly Twitter). According to his optimistic outlook, the acquisition of Standard Custody will strengthen Ripple’s products and enable new products. He also emphasized that compliance is a top priority for Ripple.
According to his post, Ripple has achieved significant regulatory milestones. It has secured approximately 40 U.S. money transfer service licenses and holds a significant number of foreign licenses. This includes a major payment institution license in Singapore and registration as a virtual asset service provider with the Central Bank of Ireland.
Meanwhile, the XRP community seems unconvinced by the Standard Custody & Trust Company acquisition. For example, Mack, an XRP enthusiast, expressed concerns about XRP’s market performance.
“Brad, this is not enough. Unfortunately, something needs to be done about the price of XRP. The price of XRP has already been structurally too low for the past five years. Many people around me are exchanging their XRP for other better performing coins that can do more than using XRP alone,” he wrote to X in response to Garlighouse.
However, another XRP supporter, Bill Morgan, disagreed with Mac’s concerns. He emphasized that Ripple is leading the cryptocurrency payments and storage space and that these regulatory achievements are positive for XRP.
Meanwhile, the price of XRP is showing signs of recovery. Over the past week, the token has surged more than 5% and is currently trading at $0.5395. The controversial altcoin remains 85% below its all-time high of $3.4 on January 7, 2018.
Will the addition of Standard Custody & Trust Company change Ripple’s fortunes and subsequently benefit XRP? Time will show. Meanwhile, skepticism continues in the local community.