Ripple has just announced a partnership with Figment and Securosys to enhance the capabilities of the Ripple Custody solution for institutions.
It can be seen that Ripple is racing to improve infrastructure to complete payment, custody, and staking services for institutions. However, practical application and pricing still show no clear signs of breakthrough.
Ripple expands custody services in partnership with Figment and Securosys
Ripple stated that these partnerships aim to simplify the procurement process and help deploy custody services faster for organizations complying with legal regulations. This move comes right after Ripple strengthened its custody services by acquiring Palisade and integrating Chainalysis's compliance control tools.
As part of the collaboration with Figment, Ripple will add staking features. As a result, institutional customers can provide staking services without having to operate the validator infrastructure themselves.
This integration focuses on banks, custodians, and regulated organizations that need to participate in Proof-of-Stake networks while still ensuring security standards and organizational control.
Through Figment's infrastructure, customers using Ripple Custody can support staking on major networks like Ethereum (ETH) and Solana (SOL).
"By combining Ripple's enterprise-grade custody technology with Figment's secure, non-custodial staking platform, we provide compliant organizations the opportunity to offer staking rewards to customers across multiple blockchain networks," said Ben Spiegelman, Vice President – Director of Partnerships and Business Development at Figment.
At the same time, Ripple collaborates with Securosys to enhance the security layer for Ripple Custody. This partnership adds support for CyberVault HSM and CloudHSM. As a result, organizations can deploy data custody using HSM either on-premises or in the cloud as needed.
According to Ripple, the integration with Securosys aims to address long-standing difficulties when organizations adopt HSMs, including costs, complexity, and lengthy procurement processes.
Ripple also indicated that the addition of Securosys helps expand the list of supported HSM providers on its custody platform, increasing flexibility for organizations operating in various regulatory environments.
"When integrating our CyberVault HSM with Ripple Custody, organizations will have an enterprise-grade solution that is easy to deploy and not overly complicated, yet still fully in control of their encryption keys," said Robert Rogenmoser, CEO of Securosys.
Interest from organizations has not helped XRP increase in price as on-chain activity cools down.
Although Ripple is increasingly strengthening infrastructure for organizations, on-chain data on the XRP Ledger shows that the level of application of the network is still only moderate. According to data from DeFiLlama, the total value locked (TVL) on XRPL has decreased from about 80 million USD at the beginning of January 2024 to about 49.6 million USD at the time of writing, reflecting that DeFi activity on this network is still quite weak.
Stablecoin data also shows a similar trend. According to data from DeFiLlama, the total market capitalization of stablecoins on XRPL is currently around 415.85 million USD, indicating steady growth but still limited.
However, much of Ripple's strategy for organizations focuses on custody, payments, and permissioned financial applications, which may not always be immediately reflected in traditional DeFi metrics like TVL.
Notably, up to now, the expansion of applications in organizations has not created much change for the price performance of XRP.
This asset has decreased nearly 32% in the past month, reflecting the overall downward trend of the entire market. At the time of writing, XRP is being traded at 1.44 USD, down 0.66% compared to the previous day.
