Ripple is acquiring Toronto-based stablecoin payments platform Rail for $200 million.
Rail offers a payment infrastructure that connects fiat and stablecoin technologies, enabling clients to transfer funds quickly, reduce costs, and scale operations through a single API. This acquisition is set to enhance Ripple’s position in the market by providing what it claims will be the most comprehensive stablecoin payments offering available.
The blockchain and crypto firm introduced its enterprise-grade, USD-denominated RLUSD stablecoin late last year and recently partnered with Bank of New York Mellon to serve as the primary custodian for RLUSD reserves. Rail’s capabilities include virtual accounts and automated back-office infrastructure, which streamline operational processes.
Monica Long, president of Ripple, stated, “Stablecoins are rapidly becoming fundamental to modern finance. With Rail, we are strategically positioned to lead in the innovation and adoption of stablecoins and blockchain in global payments. This acquisition highlights our dedication to assisting our global customer base in moving money whenever and wherever they need.”