Ripple-owned Metaco reported earlier this month that it was now working with banking giant HSBC, a deal that XRP investors hope would bring Ripple even closer to big banks.
Since launching in 2012, Ripple has had one mission: to make global cross-border transfers frictionless. Achieving that objective requires adopting its XRP Ledger solution within existing financial infrastructure, especially those used by the big banks.
For the past decade, the path to progress for Ripple has been challenging, mainly because of regulatory hurdles and skepticism towards crypto by banking firms. However, the tide is turning after a Ripple portfolio company secured a major deal to provide crypto custody services to banking giant HSBC.
Earlier this month, Metaco, a company Ripple acquired for $250 million in May, revealed the HSBC deal. For an industry where such major deals are hard to come by, it is not surprising that XRP holders consider the Metaco/HSBC partnership as one that brings Ripple closer to large banks. Notably, Metaco has also expanded its relationship with Swiss banking behemoth BBVA.
Ripple and Metaco Offerings Indirectly Related
Ripple’s cross-border payment capabilities backed by the XRP Ledger and the company’s ownership of Metaco all bode well for its continued success. The general consensus is that Metaco will inevitably serve as a channel for Ripple to offer its XRP Ledger and XRP token integration to major banking partners.
In a recent interview, Metaco’s CEO Adrien Treccani confirmed that such an idea was not mere wishful thinking. He reportedly noted that there is an “indirect link” between Ripple and Metaco’s offerings and that a win for either arm bodes well for the XRPL protocol in the long run.
Adrien Treccani further teased that the XRPL protocol allows Metaco to offer its banking clients a full stack of crypto-based solutions. One area where the Metaco CEO expects the XRPL to be crucial for its clients is in the field of tokenization, a sector that most big banks believe will become blockchain’s most popular use case.
It remains to be seen how long it will take for such wide adoption of Ripple’s XRPL and XRP to come from its Metaco division. However, the reality is that the company seems to be on the right path, and the possibilities excite its loyal community.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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