Ripples Acquisition of Fortress Trust, a Cryptocurrency Custodian

Ripples Acquisition of Fortress Trust, a Cryptocurrency Custodian

Ripple to Acquire Fortress Trust to Strengthen Cryptocurrency Infrastructure

Ripple has announced its intends to acquire Fortress Trust, a Nevada-based financial, regulatory, and technology infrastructure provider focused on Web 3.0. The CEO of Ripple, Brad Garlinghouse, expressed excitement about the acquisition, stating that Fortress Trust has a strong customer base and recurring revenue. Ripple had previously invested in the company’s seed round in August 2022 and became a minority shareholder. This acquisition comes after Ripple’s $250 Million acquisition of Swiss tokenization firm Metaco.

SEC Postpones Ark’s Bitcoin ETF Filing Decision Once Again

Expanding Regulatory Licenses and Customer Experience

Because of  the acquisition, Ripple now gains Fortress Trust’s Nevada Trust license, expanding its portfolio of regulatory licenses. Ripple President Monica Long emphasized the importance of licenses in providing a strong customer experience. She likewise mentioned that acquiring Fortress Trust would improve existing products and potentially lead to the development of new complementary products.

Fortress Trust and Previous Troubles with Prime Trust

Fortress Trust was established by Scott Purcell, who previously led Prime Trust. Prime Trust faced regulatory issues and went into receivership before filing for bankruptcy. Prime Trust’s lack of access to cryptocurrency wallets and insufficient Bitcoin (BTC) reserves caused whole lot of problems for its clients, including retail-oriented Bitcoin (BTC) financial services corporations. Swan, one of Prime Trust’s clients, moved to Fortress Trust before the collapse. With Ripple now owning Fortress, there is speculation about probable asset transitions.

Exploring the Potential of Decentralized Social Coins

Hot Take

The acquisition of Fortress Trust by Ripple strengthens Ripple’s position in the cryptocurrency infrastructure space. By gaining regulatory licenses and a strong customer base, Ripple can strengthen its existing products and explore new doors. Nonetheless, the previous troubles faced by Fortress Trust’s predecessor, Prime Trust, raise concerns about the  capacity impact on clients’ assets. It remains to be seen how Ripple will manage this transition and address the challenges associated with it.

2000 Walmart Stores Now Offering Chubby Penguins
Author – Contributor at | Website

Demian Crypter emerges as a true luminary in the cosmos of crypto analysis, research, and editorial prowess. With the precision of a watchmaker, Demian navigates the intricate mechanics of digital currencies, resonating harmoniously with curious minds across the spectrum. His innate ability to decode the most complex enigmas within the crypto tapestry seamlessly intertwines with his editorial artistry, transforming complexity into an eloquent symphony of understanding.

Ripple CEO Announces Shocking Acquisition News: Fortress Trust Deal No Longer Pursued
Read Disclaimer
This page is simply meant to provide information. It does not constitute a direct offer to purchase or sell, a solicitation of an offer to buy or sell, or a suggestion or endorsement of any goods, services, or businesses. does not offer accounting, tax, or legal advice. When using or relying on any of the products, services, or content described in this article, neither the firm nor the author is liable, directly or indirectly, for any harm or loss that may result. Read more at Important Disclaimers and at Risk Disclaimers.

Follow us

Latest Crypto News

Share via
Share via
Send this to a friend