Financial technology company Ripple has announced the acquisition of Palisade, a digital asset wallet and custody company, aiming to further expand its custody capabilities.
By moving forward with this deal, Ripple intends to substantially scale its custody capabilities and directly serve the needs of fintech companies, crypto-native firms, and corporates. The company developed Ripple Custody for banks and financial institutions that want to secure digital assets, stablecoins, or Real World Assets (RWAs).
How will the acquisition play into Ripple’s plans?
Acquiring Palisade will allow Ripple to serve a broader set of customers and use cases, as Palisade delivers a secure, efficient, and scalable wallet-as-a-service technology focused on the quick movement of value and simplified integration. This is suitable for the use cases of customers who need an improved solution for high-frequency transactions, on- and off-ramps, and payments.
Furthermore, Ripple Custody is currently used by worldwide institutions, including Absa Bank, BBVA, DBS, and Societe Generale – FORGE, among others. The solution has been developed to act as a secure vault for institutional crypto, providing a tamper-proof audit trail and cryptographic approval process that serve compliance needs. Additionally, it assists in the management of multiple vaults, offering a comprehensive view across assets and venues. On the other hand, Palisade’s architecture merges governance and security capabilities, such as Multi-Party Computation (MPC) and zero-trust architecture, with efficient wallet provisioning, multi-chain support, and DeFi integration.
Ripple is also set to integrate Palisade’s technology into Ripple Payments, which complements use cases that demand mobilising value efficiently. This will offer the core infrastructure for subscription payments or collection features. Moreover, Ripple plans to continue to improve its custody solution for enterprise adoption, including integrations with crypto compliance providers such as Chainalysis and Elliptic.
Acquiring Palisade comes as another step in Ripple’s expansion and investment in the digital asset ecosystem and follows other deals with Hidden Road, currently known as Ripple Prime, Rail, and GTreasury. The deal with Palisade comes just after Ripple made a similar transaction with GTreasury, acquiring the company for USD 1 billion to allow it to make its entrance into the corporate treasury market.
