Ripple Acquires Payments Platform Rail in $200 Million Deal
Ripple announced a definitive agreement to acquire Rail, a Toronto-based payments infrastructure provider, for $200 million.
The deal is expected to accelerate Ripple’s expansion of stablecoin payment services, leveraging Rail’s existing partnerships and compliance infrastructure.
Ripple aims to integrate Rail’s capabilities to enhance its offerings of virtual accounts and to facilitate interoperability between stablecoins and traditional currency formats.
This follows recent significant moves by Ripple, including a $1.25 billion acquisition of prime brokerage Hidden Road.
About Rail
Rail operates with over 12 banking relationships. The platform is designed with dedicated KYC/AML features to serve fintechs, payment providers, neobanks, and enterprise clients.
Potential Synergies
Post-acquisition, Ripple plans to focus on creating payment ramps for stablecoin use, including its own stablecoin RLUSD alongside XRP, to simplify cross-currency transactions.
Market Context
XRP saw a $3.07 per coin price on Thursday, a 4.3% gain in a day that also saw a slight two-week decline of 2.4%. Recent stablecoin regulatory endorsement is seen as boosting this sector.
Ripple’s Banking Ambitions
Ripple has also advanced into regulated finance, filing for a U.S. bank license last July with the Office of the Comptroller of the Currency.
