Ripple Enters $10 Trillion Crypto Custody Market with Metaco, HSBC Partnership

Published by

Qadir AK

January 25, 2024

In a recent interview on the Thinking Crypto Podcast, Ripple CTO David Schwartz shared insights into Ripple’s strategic move into the projected $10 trillion crypto custody market. The discussion focused on Ripple’s acquisition of Metaco, a custody-focused firm, and its subsequent partnership with global banking giant HSBC.

Read on for a simple breakdown of what he had to say.

Metaco Acquisition: Ripple’s Power Move

Schwartz stressed the importance of a robust custody solution in Ripple’s goal to be a comprehensive hub for institutional crypto adoption. The quarter-billion-dollar acquisition of Metaco positions Ripple to offer a range of services, covering XRP Ledger access, tokenization, and seamless payment solutions.

Excitement surrounded the partnership with HSBC as Schwartz revealed plans to provide cutting-edge digital asset custody services. HSBC’s role involves using technology for custody and offering compliance services, easing the regulatory path for institutions entering the crypto space.

The $10 Trillion Crypto Custody Market

The conversation explored the trajectory of the custody market, projected to hit $10 trillion by 2030 due to the rising trend of tokenization. Schwartz predicted that discerning institutions seeking comprehensive crypto solutions would lean towards providers offering a mix of services, including custody, payments, and liquidity.

The talk also delved into HSBC’s interest in tokenized commodities like gold and securities. Schwartz acknowledged the ongoing alignment of Ripple’s and Metaco’s strategies for optimal synergy, emphasizing Ripple’s goal to be the “leading enterprise solution provider in the space.”

“I think we’re still figuring out how to adjust Ripple’s and Metaco’s strategies to take advantage of what the other can provide.”
David Schwartz

Ripple’s strategic acquisitions and partnerships with Metaco and HSBC are helping the firm stand strong, as XRP ETFs or IPOs are not the company’s primary focus.

Also Read: Ripple News: XRP Price To Hit New ATH in Q2 – Here’s Why

Qadir AK

Qadir Ak is the founder of Coinpedia. He has over a decade of experience writing about technology and has been covering the blockchain and cryptocurrency space since 2010. He has also interviewed a few prominent experts within the cryptocurrency space.