Hidden Road, recently acquired by Ripple, has received a broker-dealer license from FINRA, allowing it to expand its capabilities in the securities market.
Acquisition of Hidden Road by Ripple
Hidden Road was acquired by blockchain payments network Ripple for $1.25 billion on April 8, strengthening Ripple's position in the financial services market.
FINRA License and Its Significance
The receipt of a FINRA broker-dealer license allows Hidden Road to further develop its prime brokerage services in fixed income markets. It also enhances the company’s credibility with investment banks.
Regulatory Context for Ripple's Expansion
The acquisition comes amid a favorable regulatory backdrop for Ripple in the U.S. Earlier this year, the company secured money transmitter licenses in Texas and New York, supporting its growth in the market.
The acquisition of Hidden Road by Ripple and the receipt of the FINRA license open up new opportunities for expanding the company's services in financial markets, which is crucial for its growth.
