Ripple now holds more than 30 U.S. states money transfer licenses.
Ripple has reportedly completed its acquisition of web3-focused company Fortress Trust for an undisclosed sum.
On Sept. 6, the crypto company revealed that it had agreed to purchase the Nevada-based chartered trust company. According to the press statement, the acquisition would further complement Ripple’s business and product roadmap.
The acquisition broadens Ripple’s regulatory licenses, including the addition of a Nevada license to its current holdings, such as the New York BitLicense and money transfer licenses across 30 U.S. states.
The purchase aligns with Ripple’s expansion plans, which have been positively influenced by a partial victory they secured against the U.S. Securities and Exchange Commission. Earlier in the year, the crypto payment company completed a $250 million deal, making it the sole shareholder of Swiss-based crypto custody firm Metaco.
Ripple to leverage on Fortress Trust’s technology
This strategic move enables Ripple to tap into Fortress Trust’s technology, licensing, and infrastructure, enhancing its ability to serve the growing crypto market.
Fortress Trust, founded by financial industry veteran Scott Purcell, specializes in providing financial and regulatory infrastructures for blockchain companies. Notably, Ripple was already a minority investor in Fortress Blockchain, the parent company of Fortress Trust, having participated in the company’s seed funding round in August 2022.
Ripple CEO Brad Garlinghouse noted that Fortress Trust had built an impressive business with recurring revenue and a strong roster of crypto-native and new-to-crypto customers since its launch in 2021. He added:
“We’re excited to bring on this team and its technology to accelerate our business and continue pressing our advantage in the areas critical to crypto infrastructure.”
The crypto company’s president, Monica Long, stated that the acquisition would help it “to build and deliver best-in-class customer experiences for enterprises using its crypto infrastructure across our payments and liquidity solutions.”
Fortress Blockchain CEO Scott Purcell said the purchase was a testament to the team and business they built within a short period.
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Author: Oluwapelumi Adejumo