In a strategic move to solidify its standing in the blockchain and cryptosphere, Ripple, a renowned leader in enterprise blockchain solutions, has acquired Fortress Trust, a chartered trust company known for offering Web3 financial and regulatory infrastructure for blockchain pioneers.
At the same time, Ripple has vehemently criticized the latest filing by the U.S. Securities and Exchange Commission (SEC) concerning their ongoing legal dispute.
Fortress Trust Acquisition Elevates Ripple's Regulatory Clout
On September 8, Ripple unveiled its acquisition of Fortress Trust, a subsidiary of Fortress Blockchain Technologies. With a coveted Nevada Trust license in hand, Fortress Trust plays a pivotal role in furnishing essential infrastructure tailored to meet the burgeoning demands of the enterprise crypto market.
This acquisition adds to Ripple's burgeoning portfolio of regulatory licenses, which already boasts a NY BitLicense, over 30 Money Transmitter Licenses across the U.S., and an in-principle Major Payment Institution License sanctioned by the Monetary Authority of Singapore.
Brad Garlinghouse, Ripple's CEO, expressed admiration for the vision and technological prowess of Fortress Trust's team. He lauded their ability to cultivate a robust business replete with recurring revenue and a diverse clientele. Garlinghouse asserted that this acquisition would propel Ripple's growth trajectory, bolstering its supremacy in the pivotal realms of crypto infrastructure.
The acquisition of Fortress Trust comes hot on the heels of Ripple's recent blockbuster purchase of Metaco, a prominent crypto custody provider, for a staggering $250 million. This strategic move affords Ripple the opportunity to elevate customer experiences across its existing product suite while exploring fresh, complementary offerings.
In line with its vision, Ripple aspires to become the definitive destination for enterprises seeking seamless value conversion, storage, and transfer on a global blockchain canvas.
SEC's Filing Draws Ire and Accusations of Manipulation
In an ongoing legal tussle with the SEC dating back to December 2020, Ripple faces allegations of conducting an unregistered securities offering related to its XRP cryptocurrency—a claim vehemently denied by Ripple. This protracted legal battle has witnessed a labyrinth of motions and counter-motions filed by both parties.
In a recent twist, the SEC submitted a filing aimed at bolstering its interlocutory appeal, seeking an interim judgment before the final verdict. Ripple's Chief Legal Officer and General Counsel, Stuart Alderoty, didn't mince words in labeling this maneuver a “hypocritical pivot.” He pointed fingers at SEC Chair Gary Gensler, highlighting the inconsistency and manipulation underlying the SEC's actions.
Alderoty underscored Gensler's dual stance: advocating for increased crypto clarity and regulation while concurrently pursuing an expedited appeal based on existing rules. This, Alderoty argued, reflects a lack of confidence in the SEC's case and an attempt to delay proceedings.
Legal experts and observers have rallied behind Ripple, condemning the SEC's actions as arbitrary, capricious, and contradictory. James K. Filan, a pro-XRP lawyer, expressed the view that the SEC appears to be "clueless" about its course of action. John E. Deaton, another advocate for XRP, found Alderoty's response to the SEC's filing both justified and rational.
XRP Stuck in a Slim Range
Amidst all this action, XRP remains stuck in a range as of the time of publication. Since the start of the month, the cryptocurrency has traded in a slim range between $0.5150 and $0.5000, pretty much ignoring the general bearish price action in the broader market.
We expect to see a steadfast continuation of this sideways trend over the coming days, with a possible reflection upward. It seems unlikely that XRP will record a sustained bearish move below the $0.5000 support mark, given its effectiveness at holding bears at bay.
XRP Statistics Data
XRP Current Price: $0.5000
XRP Market Cap: $26.5B
XRP Circulating Supply: 53B
XRP Total Supply: 100B
XRP Market Ranking: #5
This article should not be taken as financial advice. It is essential to conduct research before making any investment decisions.