Fortress Trust is a financial institution specialising in licensed Web3 financial, regulatory, and technology infrastructure services for blockchain innovators.
This acquisition aligns with Ripple's strategic objectives, enhancing its presence in the enterprise cryptocurrency market. It follows Ripple's recent acquisition of Metaco, a crypto custody provider, in a deal valued at USD 250 million, marking one of the most significant transactions in the industry in 2023.
With the inclusion of Fortress Trust in its portfolio, Ripple expands its array of regulatory licenses. Fortress Trust holds a Nevada Trust license, augmenting Ripple's existing licenses, which include a NY BitLicense, over 30 Money Transmitter Licenses across the United States, and an in-principle Major Payment Institution License from the Monetary Authority of Singapore.
In the official press release, representatives from Ripple emphasised the significance of licenses in enhancing customer experiences for enterprises using Ripple's crypto infrastructure across payments and liquidity solutions. They also noted that acquiring Fortress Trust provides opportunities to enhance existing products and explore new offerings.
The Ripple officials expressed their confidence in the Fortress Blockchain Technologies team, highlighting their achievements since their establishment in 2021, which include steady revenue streams and a diverse customer base, spanning both crypto-native and newcomers to the crypto sphere. They anticipate that this acquisition will accelerate Ripple's progress and bolster its capabilities in critical aspects of crypto infrastructure.
Ripple is known for its flagship payment products, specialising in addressing challenges in cross-border payments using blockchain and cryptocurrencies with a focus on building a robust blockchain-enabled payment infrastructure. Over time, Ripple has expanded its product portfolio to encompass additional use cases such as liquidity management, tokenization, and Central Bank Digital Currencies (CBDCs).
According to the official press release, Ripple serves hundreds of customers spanning 55 countries and 6 continents, offering payout services in more than 70 markets.
Representatives from Fortress Blockchain Technologies expressed satisfaction with the acquisition by Ripple, acknowledging Ripple's stature as a leading and innovative company in the industry. They also expressed eagerness to further collaborate and deepen their partnership in the Web3 payments domain.
Ripple initially became a minority investor in Fortress Blockchain Technologies in 2022 through a seed funding round. Following the completion of this acquisition, Ripple intends to invest in the parent company, Fortress Blockchain Technologies, and its FortressPay services. These investments will leverage Ripple's global technology infrastructure to provide innovative payment solutions to B2B customers worldwide. The finalisation of the deal is contingent upon due diligence and regulatory approvals.
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