Ripple, a San Francisco, CA-based provider of enterprise blockchain and crypto solutions, is to acquire Fortress Trust, a Las Vegas, NV-based provider of licensed Web3 financial, regulatory and technology infrastructure for blockchain innovators.
The amount of the deal was not disclosed.
Ripple became a minority investor in Fortress Blockchain Technologies in 2022 as part of its seed funding. Following the closure of the deal, Ripple plans to invest in parent company, Fortress Blockchain Technologies and its FortressPay services, which will leverage the global technology Ripple has built to deliver new and innovative payment solutions to B2B customers around the world. The deal closure is subject to due diligence and regulatory approvals.
A subsidiary of Fortress Blockchain Technologies led by Scott Purcell, CEO, Fortress Trust is a financial institution that provides Web3 financial, regulatory and technology infrastructure for blockchain innovators from Fortune 500 businesses to fintech startups who are building blockchain-based services. Fortress is the back-end infrastructure layer for payments, asset tokenization, regulated custody, compliance, and other services that enable B2B clients to launch and scale quickly.
With this acquisition, Ripple’s portfolio of regulatory licenses expands, as Fortress Trust holds a Nevada Trust license. Ripple and its other subsidiaries collectively hold a NY BitLicense, more than 30 Money Transmitter Licenses across the U.S., and an in-principle Major Payment Institution License from the Monetary Authority of Singapore, the country’s Central Bank.
This deal follows Ripple’s recent acquisition of crypto custody provider Metaco, for $250M.
Brad Garlinghouse, CEO of Ripple is known for its flagship payments products utilizing blockchain and cryptocurrency. The company focused on building blockchain-enabled payments infrastructure from the ground up, before expanding its product offerings to address new use cases like liquidity management, tokenization and Central Bank Digital Currencies (CBDCs). Today, Ripple serves hundreds of customers in over 55 countries and 6 continents with payout capabilities in 70+ markets.
FinSMEs
11/09/2023