Ripple’s recent acquisition of financial institution Fortress unlocks yet another license for the blockchain company.
Amid its legal tussle with the United States Securities and Exchange Commission (SEC), payments firm Ripple has increasingly expanded its regulatory compliance program by obtaining licenses in several jurisdictions.
Notably, the company’s recent acquisition of financial institution Fortress unlocks yet another regulatory license to add to its growing list.
Recall that Ripple acquired Fortress Blockchain Technologies towards the end of last week for an undisclosed sum. The move transfers Fortress’ Nevada Trust License to Ripple, allowing the company to serve customers and businesses in the US state.
Nevada has a population of 3.1 million residents, or roughly 1% of the US populace. The state is also considered one of the most crypto-friendly US jurisdictions, explaining why Ripple prioritized acquiring a license in Nevada.
Meanwhile, the latest addition to Ripple’s regulatory approvals adds to the 30 Money Transmitter Licenses that the company holds in other US states. Ripple also holds the coveted New York BitLicense, as it doubles down on US regulatory compliance against all odds.
In a public release, Ripple president Monica Long called licenses such as the recently acquired one in Nevada a “ powerful enabler” to the company’s offering.
She also expressed optimism that the Fortress acquisition opens up an opportunity for Ripple to “improve the current customer experience in existing products and explore new, complementary products.”
Ripple Ramps Up Strategic Acquisition Amid Bear Market
Despite less-than-ideal market conditions, the Fortress acquisition is Ripple’s second major acquisition in the past five months. In May, Ripple acquired crypto-custody-focused firm Metaco for a reported $250 million.
The Metaco buyout unlocked digital asset custody services for Ripple. However, the Fortress acquisition seems more focused on fiat onramps, given Ripple’s emphasis on the Nevada Trust License.
Fortress is also noted for providing enterprise blockchain tokenization capabilities, a field Ripple is known to be interested in.
Ripple holds Money Transmitter Licenses in California, New York, Texas, Florida, Colorado, Kansas, New Mexico, and more. You can see the full list here.