Ripple Acquires 40% Stake in Asian Cross-Border Payments Solution Tranglo
- Malaysia-based Tranglo has processed over 20 million transactions totaling $4 billion in value.
- The acquisition will enable Ripple to meet growing demand in Southeast Asia.
Brad Garlinghouse, CEO of Ripple, at the Fortune Brainstorm Finance conference. Fortune
According to Ripple’s press release, Tranglo’s acquisition will enable it to create a standard integration for regional cross-border payments in Southeast Asia. While no details about the acquisition were revealed to the public, Ripple said the completion of the transaction is expected to occur in 2021.
Ripple acquired Tranglo — which has processed over 20 million transactions totaling $4 billion in value — to meet the growing customer demand for its service in the region. The partnership will also enable the company to expand the reach of its On-Demand Liquidity (ODL) service, which utilizes Ripple’s native XRP token to instantly settle cross-border transactions.
Broadening its ODL footprint in Southeast Asia will enable eligible RippleNet customers to leverage Ripple’s Line of Credit and repay their transactions at a later date.
- A federal judge ruled that the sale of XRP through exchanges and algorithms did not qualify as selling securities, which could have a major impact on several SEC lawsuits.
- The institutional sale of the token, however, did violate federal securities laws, and the lawsuit between the SEC and Ripple will have to go to trial.
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- These documents are seen as central in Ripple’s battle against the SEC, which in 2020 accused the company of selling its XRP token without registering it as a security.
- The documents in question are internal emails, text messages, and expert reports that followed Hinman’s 2018 speech, in which he said ETH and BTC were not securities.
- The exchange argues that the SEC failed to provide a “fair notice” that selling XRP was illegal, and that it previously made public statements that those transactions were lawful.
- Coinbase also pointed out that the SEC is yet to provide clear guidance to crypto businesses, and that it keeps being inconsistent about its enforcement approach.