Ripple announced on Wednesday, May 17, that it has acquired crypto custody company Metaco for $250 million.
Metaco is producing technology that allows financial institutions to store and manage digital assets. Among the company’s customers Citi, BNP ParibasAnd Societe Generalehas a digital asset arm.
Garlinghouse Expects Demands to Increase
Ripple CEO Brad Garlinghousenoted that it expects increased demand for crypto custody services from institutional investors.
Garlinghouse continued, “If you focus on infrastructure, you won’t suffer the problems of the crypto winter. If you’re solving a clear problem for customers, there’s bound to be demand there.” Garlinghouse as US regulators increase sanctions on crypto firms metacoHe said that the fact that the company is based in Switzerland and has non-US employees increases the attractiveness of the company.
market monitoring company CoinGecko According to Ripple, it is the sixth largest cryptocurrency in the world with approximately $23 billion in assets in circulation. Ripple announced that more than half of the $250 million purchase was paid in cash and the rest as equity.
Ripple in December 2020 U.S. Securities and Exchange Commission He was accused and sued by the SEC for offering $1.3 billion in unregistered securities. Ripple denied the accusations, saying that the asset is a currency and does not need to be registered as an investment contract.
