US-based Ripple, a company that claims to be the leader in enterprise blockchain and crypto solutions, announced on Wednesday, May 17, that it has acquired Switzerland-based Metaco, a provider of digital asset custody and tokenisation technology, for $250M (approximately €230.94M).
According to Ripple, this is a significant step in its business and product strategy as diversifying into custody solutions will provide the company with additional revenue opportunities.
Ripple will now take over as Metaco’s sole shareholder, but Adrien Treccani, the company’s founder and CEO, will continue to run it as a separate brand and business unit.
Building breakthrough crypto solutions
Founded in 2012, Ripple provides cryptocurrency solutions and transforms how money is managed, moved, and tokenised in the world.
It claims to be the first company to use blockchain technology and cryptocurrencies to address the multi-trillion-dollar pain points in cross-border payments.
Before extending its product offerings to meet new use cases like liquidity management and tokenisation, including Central Bank Digital Currencies (CBDCs), the company addressed challenges such as establishing blockchain-enabled payments infrastructure from the ground up.
Ripple says its solutions are quick, transparent, and cost-effective – eliminating inefficiencies that have long defined the status quo.
Increasing access to inclusive and scalable financial systems while utilising carbon-neutral blockchain technology and a green digital asset, XRP, allows Ripple to realise a more sustainable global economy and planet. This is how it carries out its mission to develop crypto solutions for a world without economic borders.
With payment capabilities in more than 70 markets, Ripple currently serves thousands of customers in more than 55 nations and 6 continents.
Enabling institutions to thrive in the digital asset economy
Founded in 2015 by Adrien Treccani, Metaco provides institutions with safe and adaptable mission-critical custody infrastructure to deploy new business models in the crypto economy.
The company claims that its core product, Harmonise, is the institutional standard for digital asset custody and tokenisation infrastructure.
The platform links institutions to a broad universe of decentralised finance (DeFi) and decentralised applications (Web3 Dapps), from asset-agnostic custody and trading to tokenisation, staking, and smart contract administration.
The company says it is adopted by the world’s leading global custodians, top-tier banks, financial institutions, and corporations.
Metaco’s technological solutions are available in Switzerland, Germany, Turkey, France, the US, the UK, Singapore, Australia, Hong Kong, and the Philippines.
Adrien Treccani says, “Our mission has always been to enable institutions to thrive in the digital asset economy with the help of our core infrastructure and expertise, and we are delighted to join forces with the team at Ripple, who share that passion.”
“This deal will enable Metaco to leverage Ripple’s scale and market strength to reach our goals and deliver value to our clients at a faster pace. We look forward to continuing to serve unprecedented levels of institutional demand with the utmost excellence in delivery, as our clients have come to expect.”
Aim of this acquisition
Both Ripple and Metaco have a long history of collaborating with regulated organisations to develop safe enterprise-grade solutions. They also both have elite institutional clients and share strong crypto DNA.
Ripple will increase the scope of its enterprise products and give customers the means to hold, distribute, and settle any kind of tokenised asset.
Brad Garlinghouse, CEO of Ripple, says, “Metaco is a proven leader in institutional digital asset custody with an exceptional executive bench and a truly unmatched customer track record.”
“Through the strength of our balance sheet and financial position, Ripple will continue pressing our advantage in the areas critical to crypto infrastructure. Bringing on Metaco is monumental for our growing product suite and expanding global footprint.”
Metaco mentions in a statement that its development trajectory will be boosted by access to Ripple’s established network of hundreds of customers, funds to meet additional demand and resources to deliver on its commitment to banking and institutional clients.
Monica Long, President at Ripple, adds, “As the go-to provider for traditional finance companies looking to integrate crypto and blockchain solutions, Ripple is uniquely positioned to address the growing institutional crypto custody market, expected to reach $10T by 2030.”
“Custody is a key facet of the infrastructure required for enterprise crypto services. Adding these capabilities to Ripple’s already growing product solutions means we can continue to support customers as they look to utilise crypto and blockchain for real-world use cases across all phases of adoption.”
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