Ripple acquires prime broker Hidden Road for $1.25 billion to expand institutional services

Ripple acquired Hidden Road in an agreement of $ 1.25 billion, marking the second acquisition of $ 1 billion and more involving a crypto company this year – depending on the purchase of $ 1 billion in blockfi FTX.

Waves (Xrp) Acquires Hidden Road, main brokerage company for $ 1.25 billion as part of its strategy to attract more institutional investors thanks to a larger range of services. The agreement will be mainly based on species, as well as part paid in XRP and Ripple shares. Marc Asch, the founder of Hidden Road, will continue to direct the brokerage house under Ripple.

“Ripple must ensure that the infrastructure is in place to use and extend to a wider segment of the largest bulging support institutions,” said CEO Brad Garlinghouse said Fortune.

Homosexual said CNBC that he provides that the agreement will be finalized in the third quarter of 2025 at the latest.

Brad Garlinghouse explain The fact that the acquisition occurred after Hidden Road was faced with growth challenges due to balance sheet constraints and began to seek external capital on a scale.

As part of the acquisition, Hidden Road will integrate Ripple StablecoinRlusd, in its offers and can also use the XRP blockchain for more effective transaction regulations. Ripple plans to invest billions in Hidden Road to evolve its operations and meet the growing demand for brokerage services takes precedence over the cryptography market.

Founded in 2018 by Marc Asch, Hidden Road quickly became a major player in the Crypto Prime brokerage space, competition with Falconx and Coinbase Prime. The company reported 3 billions of dollars in fund transfers in 2024. Previously, it raised $ 50 million in a series of funding from the series supported by Castle Island Ventures, Coinbase Ventures and Citadel Securities.