Ripple Prime Bets Big on Wall Street 2.0 as XRP Becomes Institutional Collateral
Ripple Prime is quickly establishing itself as a major force in the next era of institutional finance, positioning itself at the heart of Wall Street 2.0, an always-on financial ecosystem powered by blockchain technology.
In an interview with Markets Media's Shanny Basar, Mike Higgins, Business Development/Client Director at Ripple Prime, argued that the current crypto slowdown should not be confused with weakening digital asset adoption.
Instead, he said global financial markets are steadily evolving toward 24/7 trading, settlement, and collateral management, driving demand for blockchain-based infrastructure that can operate around the clock.
"The current crypto winter is not a digital asset winter," Higgins said, emphasizing that tokenized assets, stablecoins, and blockchain networks are rapidly becoming core components of modern capital markets.
This shift has accelerated since Ripple acquired prime broker Hidden Road, now rebranded as Ripple Prime. By combining Hidden Road's institutional prime brokerage expertise with Ripple's blockchain infrastructure, enterprise network, and financial strength, the firm has significantly expanded its institutional capabilities.
According to Higgins, the strategy is already delivering results. Ripple Prime's revenues have tripled since the acquisition, while Ripple's balance sheet has increased lending capacity.
Integration with RLUSD, Ripple's GENIUS Act-compliant U.S. dollar stablecoin, and the XRP Ledger is also expected to streamline settlement, enhance capital efficiency, and reduce transaction costs.
Ripple Prime Unlocks XRP's Institutional Utility With Collateral Financing
One of Ripple Prime's most significant innovations is transforming XRP from a passive balance-sheet asset into productive institutional collateral.
As highlighted by market analyst Chad Steingraber, Ripple Prime now issues XRP-backed depository receipts, enabling institutions to pledge XRP as collateral, obtain U.S. dollar credit, and trade CME futures without selling their holdings. This allows firms to maintain XRP market exposure while unlocking liquidity, potentially avoiding taxable sale events, and deploying capital more efficiently.
Beyond digital assets, Ripple Prime supports a broad range of collateral, including U.S. Treasuries, fiat currencies, gold, Bitcoin, XRP, and BlackRock money market funds. This unified collateral framework enables institutions to seamlessly manage liquidity across both traditional and digital markets.
The timing is notable. Reports that the White House has resolved a key obstacle surrounding the CLARITY Act have strengthened expectations for clearer U.S. digital asset regulations, a development widely viewed as a catalyst for increased institutional participation.
With a multi-asset collateral platform, deep integration into Ripple's ecosystem, and infrastructure designed for 24/7 markets, Ripple Prime is positioning itself, XRP, and the XRP Ledger as key pillars of the next generation of global capital markets.