Ripple, a well-known Blockchain payments company, has expanded its services by launching digital asset custody solutions for banks and fintech firms. This new service, called Ripple Custody, allows financial institutions to store and manage digital assets, such as cryptocurrencies, in a secure and compliant way.
According to a report from CNBC on October 10, Ripple’s move into crypto custody is a step to diversify beyond its traditional payment settlement business. Ripple Custody includes features like integration with Ripple’s blockchain platform, the XRP Ledger, and tools to monitor compliance with Anti-Money Laundering (AML) regulations. It also introduces a new user interface, making it easier for institutions to manage their digital assets.
Ripple is widely known for its XRP token and its RippleNet platform, which enables banks to share information about payment status updates quickly and efficiently. However, by entering the crypto custody space, Ripple is aiming to offer broader services that go beyond just payment settlements.
Crypto custody services are growing in demand as more institutions begin investing in digital assets. These services help secure private keys, which are essential for accessing crypto assets, and they ensure that trades and payments comply with digital asset regulations. Ripple’s senior vice president of product, Aaron Slettehaugh, highlighted that their new custody services are designed to cater to fintech businesses with scalable solutions. Ripple also reported that its custody division grew by 250% year-on-year, now operating in seven countries.
Other major financial institutions are also stepping into the crypto custody business. On September 10, Standard Chartered announced it had launched digital asset custody services in the United Arab Emirates, starting with Bitcoin and Ethereum. The firm secured a license from the Dubai Financial Services Authority to offer these services.
Similarly, Taiwan’s Financial Supervisory Commission (FSC) is preparing a regulatory framework for crypto custody. In 2025, it will start accepting applications from institutions interested in offering custody services, and three private banks in Taiwan have already expressed interest in the sector.
Ripple’s expansion into crypto custody marks an important step as demand for secure and compliant digital asset management continues to rise among financial institutions.
