Ripple Just Bought a Prime Broker for $1.25B – and Is Bringing the XRP Ledger Along for the Ride

Ripple Acquires Prime Broker Hidden Road for $1.25 Billion in Landmark Crypto Deal

In a landmark acquisition for the digital assets sector, blockchain payments firm Ripple has announced it will acquire prime brokerage firm Hidden Road for $1.25 billion. The move positions Ripple as the first cryptocurrency company to own and operate a global, multi-asset prime broker, marking a significant milestone in the convergence of traditional finance and digital asset infrastructure.

The acquisition, one of the largest in the history of the crypto industry, reflects growing institutional interest in digital finance and Ripple’s strategic ambition to expand its role within the global financial ecosystem.

Bridging Two Financial Worlds

Hidden Road is one of the fastest-growing prime brokers in the world. The London and New York-based firm provides institutions with a range of services, including clearing, financing, and trading access across both traditional and digital asset markets. The company reportedly processes more than $3 trillion in transactions annually and serves over 300 institutional clients globally, including hedge funds, asset managers, and market makers.

By integrating Hidden Road’s capabilities, Ripple aims to accelerate the institutional adoption of cryptocurrencies and blockchain-based finance. The acquisition also lays the groundwork for new financial products that combine the efficiency of blockchain technology with the structure and security of traditional finance.

Brad Garlinghouse, Ripple’s Chief Executive Officer, said the acquisition signals a pivotal moment for digital assets.

“We are at an inflection point for the next phase of digital asset adoption,” Garlinghouse stated. “The US market is effectively open for the first time, following the conclusion of regulatory uncertainty from the SEC’s prior leadership. Market maturity is now aligning with the demands of traditional financial institutions.”

Ripple USD and XRP Ledger Take a Central Role

A key feature of the acquisition is the integration of Ripple USD (RLUSD)—Ripple’s USD-backed stablecoin—into Hidden Road’s services. The prime broker plans to use RLUSD as collateral across its product suite, making it the first stablecoin to facilitate cross-margining between digital and traditional markets. This development could significantly improve capital efficiency for institutional traders and investors.

Moreover, Hidden Road will migrate its post-trade operations to the XRP Ledger (XRPL)—Ripple’s open-source blockchain known for high throughput and low transaction costs. This shift is expected to reduce operational overheads and enhance transparency, potentially establishing XRPL as a leading blockchain infrastructure for institutional decentralised finance (DeFi).

Today, Ripple announced it is acquiring Hidden Road for $1.25B– becoming the first crypto company to own and operate a global, multi-asset prime broker. Together, Ripple and Hidden Road are bringing the promise of digital assets to institutional customers at scale, bridging…

— Ripple (@Ripple) April 8, 2025

The synergy between Ripple and Hidden Road is expected to benefit multiple facets of Ripple’s broader business strategy. Through the integration, Ripple plans to expand its Ripple Payments solution—its cross-border payments network—by enhancing liquidity management and offering custody services to Hidden Road’s institutional clients.

A New Era for Prime Brokerage in Crypto

Marc Asch, Founder and CEO of Hidden Road, emphasized the transformative potential of the acquisition.

“With new resources, licenses, and additional risk capital, this deal will unlock significant growth opportunities for Hidden Road,” said Asch. “Together with Ripple, we are bringing the trust and reliability that institutional clients expect from traditional finance—designed and optimised for a digital-first world.”

The acquisition will allow Hidden Road to scale its services globally, bolstered by Ripple’s extensive regulatory experience and capital strength. Ripple currently holds more than 60 licenses and regulatory registrations across multiple jurisdictions, making it one of the most compliant crypto firms operating internationally.

Ripple was already a participant in Hidden Road’s Series B funding round and a customer of its services prior to the acquisition, suggesting the deal builds on an established and collaborative relationship. The transaction is expected to close in the coming months, pending customary regulatory approvals.

Regulatory Landscape and Industry Implications

The acquisition comes at a time of renewed momentum in the digital asset space, particularly as regulatory clarity improves in key markets such as the United States. Ripple’s legal battle with the Securities and Exchange Commission (SEC) appears to be nearing its end, and the firm is positioning itself to take advantage of this more stable environment.

Observers say the acquisition is likely to increase pressure on traditional financial institutions to accelerate their own digital asset strategies. As crypto-native companies like Ripple expand into core financial services, the competitive landscape could shift rapidly in the coming years.

Furthermore, Ripple’s move could prompt other digital asset companies to explore similar acquisitions as a way to secure infrastructure, expand institutional access, and diversify product offerings.

Conclusion: Strategic Leap for Institutional Crypto Adoption

Ripple’s acquisition of Hidden Road represents more than a corporate merger—it is a strategic alignment of infrastructure, regulation, and innovation. As financial markets inch closer to a future where blockchain plays a foundational role, the integration of prime brokerage services with decentralised technologies could be a catalyst for broad-based adoption among institutional players.

While the deal’s long-term impact remains to be seen, it underscores Ripple’s ambition to become a dominant force in global finance, offering a bridge between the conventional financial system and the decentralised world of digital assets.

Writer: YopesCrypto

Editor: XCrypto

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