What would Ripple get?
Access to markets and financing
With the purchase of Hidden Road for about $1.25 billion, Ripple gets the infrastructure used by funds and large traders. Everything goes through one system. Trading, settlement and capital lending. In some cases, RLUSD can be used as collateral. The goal is for institutions to be able to work with crypto without a complicated structure and too many intermediaries.
Connecting to companies’ financial systems
The investment of about $1 billion in GTreasury connects Ripple to the internal systems used by large companies. Money balance, foreign currencies, risk, and settlements can be automatically adjusted to onchain transactions. Blockchain no longer stands on the sidelines, but enters existing financial processes.
Stablecoin payments in practice
By buying Rail for about $200 million, Ripple gets the tools for real business payments. There are virtual accounts, automation, and international payouts. RLUSD is used here for actual B2B transactions, not just for sending tokens from wallet to wallet.
Safe storage of funds
Metaco, which acquired Ripple in 2023, is addressing how crypto assets are kept at the bank level. It is clear who has what powers, how the keys are managed and how the stablecoin reserves are protected. This is necessary if banks and large companies want to use crypto seriously.
Card payments and billing
Ripple is testing the calculation of card payments over RLUD on the XRP Ledger with Mastercard, WebBank and Gemini. The idea is that the classic settlements, which today last for days, will eventually be replaced by a stablecoin settlement. For now, it is a pilot project, but the direction is clear.
Capital for expansion
A new round of funding of $500 million gives Ripple the space to tie all these pieces together into a single whole. The focus is not on small users, but on banks, brokers and large companies.
Everything together makes a closed system. Access to markets, payments, custody of assets and capital work as a single stack. Ripple is trying to show that crypto can function within the existing financial world, without manual labor and improvisation.
Interesting detail
Most finance teams in large firms still manually reconcile transactions at the end of the month. If onchain payments can be automatically linked to their systems, this job is greatly simplified.
Source: cointelegraph
What do businesses get when working with Ripple?
International payments without complications
Companies can send international payments much faster than through traditional banking channels. The treasury team sets the rules in advance, and the funds are converted to RLUSD or XRP as needed. Payments are made almost instantly, and data is automatically returned to internal financial systems. This means less manual labor and faster moon closing.
Easier access to liquidity.
Brokers and finance teams get easier access to markets and capital. RLUSD or XRP can be used as collateral, and funding is only activated when needed. At the end of the day, it all comes down to a single balance and a clear overview of funds, without scattered accounts and platforms.
Simpler calculation of card payments
With card payments, the daily turnover of merchants can be settled through stablecoins. Companies continue to work with the same files and the same accounting processes as before. Complaints and refunds remain the same. The difference is in faster calculation and better control of money.
Summing up
Ripple is trying to offer businesses faster payments, better liquidity control, and less operational burden, without having to change the way they already run their finances.
Source: cointelegraph
What is changing?
Less intermediaries, more control
If Ripple or some related company gets a banking license and direct access to the US Fed, the whole structure is simplified. Stablecoin reserves could be held directly with the Fed rather than through commercial banks. This reduces risk and speeds up alignment. For treasury teams, this means clearer deadlines, fewer costs, and fewer steps in each payment.
Stricter rules for stablecoin
In order for all of this to scale, RLUSD must function as a banking product. This means a clear distribution of reserves, regular checks and good liquidity control throughout the day. Large firms won’t use a stablecoin if they don’t have a clear understanding of what’s behind it and how the reserves are protected.
Cards remain cards
With card payments, nothing has changed significantly for the operational teams. Returns, complaints and consumer protection must work the same as they do today. The onchain part must fit perfectly into the existing rules, with no new exceptions and manual processes.
More data, less improvisation
International payments still require strict KYC and AML checks. Institutions expect standardised data on recipients, the purpose of payments and clear audit trails. All of this must automatically enter their compliance systems.
Clear accounting rules
Finance teams need to know exactly how to treat RLUSD on the books. When it’s money, when it’s limited money, and when it’s digital assets. It is also important how exchange rate differences and network fees are booked. Without clear rules, everyday work quickly becomes chaos.
Source: cointelegraph
How is Ripple different from the competition?
Most players in this space solve only one part of the problem.
Stablecoin issuers are focused on the token itself and the ins and outs of fiat.
Custody firms are exclusively engaged in the safekeeping of assets and controls.
Payment companies do money transfers.
Ripple is going the other way. He is trying to combine all this into one system for institutions.
The idea is for the finance team to start with orders in the treasury system, then secure funds through RLUSD or XRP, do the payment or trade, and finally end up in custody. No merging of five different suppliers and no manual matching.
The advantages of this approach are clear. One product, unique controls, the same data throughout the process and much less billing errors.
The risk is also obvious. Specialized firms may be better in their narrow area than a solution that covers everything. For large institutional buyers, the key question is whether this “all-in-one” approach can really reduce costs and speed up processes, while maintaining the level of control that banks require.
