This announcement follows a series of billion-dollar transactions involving cryptocurrency firms, reflecting the increasing significance of digital assets like bitcoin, particularly under the administration of U.S. President Donald Trump, who has taken a positive stance towards the crypto industry.

“With the regulatory cloud from the previous SEC regime clearing, the U.S. market is effectively open for the first time. This maturity in the market enables us to cater to the demands of traditional finance,” said Ripple CEO Brad Garlinghouse.

Prime brokers, such as Hidden Road, play a critical role in clearing, securities lending, and leveraged trade execution. These services are commonly availed by large hedge funds and institutional investors. Hidden Road manages annual clearing of $3 trillion across markets, serving over 300 institutional clients.

The acquisition will catapult Hidden Road’s growth, backed by Ripple’s financial strength, potentially making it the world’s largest non-bank prime broker. Ripple itself will become the sole crypto firm to own and operate a global multi-asset prime broker after the deal closes in the coming months.

This move also boosts the utility of Ripple USD (RLUSD), as Hidden Road uses this stablecoin as collateral across its prime brokerage products. Ripple rolled out RLUSD, a stablecoin pegged to the U.S. dollar, last year to challenge the market dominance of Tether and USD Coin.

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