Ripple Secures $500M Strategic Investment at $40B Valuation

Ripple has closed a $500 million strategic investment round at a $40 billion valuation, led by funds managed by affiliates of Fortress Investment Group and Citadel Securities, according to a recent press release. Other major participants include Pantera Capital, Galaxy Digital, Brevan Howard, and Marshall Wace.

The move confirms Ripple’s growing role in institutional digital finance and comes amid renewed investor interest following a more favorable U.S. policy environment under the GENIUS Act, a newly enacted stablecoin law.

Ripple said the round was not about raising capital for survival but about strengthening partnerships with experienced financial players who could accelerate its global growth.

“We think it makes good sense to have them as strategic partners, as investors who will have a hand toward building the future,” Ripple President Monica Long, told CNBC.

According to Ripple’s statement, the $500 million equity round deepens relationships with investors whose expertise aligns with Ripple’s long-term focus on institutional blockchain infrastructure. The company called it a continuation of a “record year of growth.”

CEO Brad Garlinghouse said the investment validates Ripple’s position in the evolving digital asset market.

“This investment reflects both Ripple’s incredible momentum, and further validation of the market opportunity we’re aggressively pursuing by some of the most trusted financial institutions in the world,,” Garlinghouse said. 

From Payments to a Full Digital Asset Platform

Ripple launched in 2012 with a narrow goal — using blockchain to facilitate cross-border payments with its digital token XRP. The idea was to move fiat currencies faster and cheaper across borders using XRP as a bridge asset.

Over time, Ripple expanded its offerings beyond remittances. The company now operates across multiple areas of finance:

• Ripple Payments – A cross-border settlement platform powered by XRP and Ripple USD (RLUSD).
• Ripple Prime – An institutional prime brokerage service.
• Ripple Custody – Secure storage for digital and tokenized assets.
• Corporate Treasury Solutions – Enabled through its recent acquisition of GTreasury, integrating blockchain into enterprise liquidity systems.

Ripple’s Payments platform alone has processed over $95 billion in transactions to date.

Record Acquisitions and Expansion

Ripple has made six acquisitions in the past two years, two of which were valued at over $1 billion each. These deals form the foundation of Ripple’s expansion from a payment-focused firm into a full-service blockchain infrastructure provider.

Recent notable acquisitions include:

• Rail – A stablecoin infrastructure company specializing in enterprise-grade settlement solutions.
• GTreasury – A treasury and liquidity management platform serving Fortune 500 companies managing trillions in assets.

The acquisition of GTreasury allows Ripple to integrate stablecoin-based treasury management for large corporations, enabling 24/7 liquidity operations.

The Rise of Ripple’s Stablecoin RLUSD

Ripple entered the stablecoin market in December 2024 with RLUSD, a U.S. dollar–backed token issued under a New York Trust Charter. RLUSD is fully backed 1:1 by cash and cash equivalents and operates natively on the XRP Ledger (XRPL).

Within a year, RLUSD reached $1 billion in circulation, becoming a core component of Ripple’s ecosystem. It’s already used as collateral within Ripple Prime and serves as a settlement asset within Ripple Payments.

Mastercard Pilot Using RLUSD

In a notable development, Mastercard partnered with Ripple and Gemini to test credit card settlements using RLUSD on XRPL.

The pilot connects Gemini’s credit card (issued by WebBank) with Mastercard’s settlement network, replacing traditional interbank transfers with blockchain-based RLUSD settlements.

The goal is to settle fiat-based credit card transactions in seconds rather than days.

“The goal is to bring blockchain speed and efficiency into the back-end of a payment flow consumers already know,” Ripple’s president Monica Long, said.

If successful, the pilot would represent one of the first times a regulated U.S. bank settles fiat transactions on a public blockchain.

Ripple’s $1B Digital-Asset Treasury (DAT) Plan

In October, Ripple was reportedly preparing to raise $1 billion for a digital-asset treasury (DAT) primarily composed of XRP tokens, according to Bloomberg Law.

The initiative is expected to be financed through a special purpose acquisition company (SPAC), with Ripple also contributing from its internal XRP reserves. The plan aims to create a centralized XRP treasury for institutional use — effectively a reserve and liquidity pool for corporate and market operations.

Key Details on the DAT

• Acts as a corporate treasury for large-scale XRP custody and liquidity.
• Financed through a mix of investor capital and Ripple’s own XRP holdings.
• Designed to enable institutional-scale XRP integration for treasury, custody, and settlement operations.
• Expected to enhance liquidity for both corporate clients and Ripple’s ecosystem partners.

The plan aligns with Ripple’s strategy of institutional-grade digital asset management, merging traditional finance practices with blockchain efficiency.

Ripple’s Strategic Direction

Ripple’s broader goal is to become an institutional hub for blockchain-based financial operations — not just a token issuer. The company’s acquisitions and new partnerships highlight three focus areas:

• Cross-chain settlement infrastructure using XRP and RLUSD.
• Institutional custody and treasury management.
• Compliance-driven integration with regulated financial systems.

Ripple has also repurchased over 25% of its shares in recent years to improve shareholder and employee liquidity, signaling strong internal financial health.

The investment led by Fortress and Citadel comes as traditional finance (TradFi) institutions grow more comfortable with blockchain-based financial tools.

Funds like Galaxy Digital and Pantera Capital, both early backers of crypto infrastructure, view Ripple’s regulatory compliance and enterprise-grade operations as key differentiators.

The investment also reflects improving regulatory sentiment in the U.S. following the GENIUS Act, a federal law providing clearer guidelines for stablecoin issuance and custody.

Ripple’s compliance with U.S. licensing standards, including the New York Trust Charter, enables it to take advantage of the favorable regulatory environment.

Conclusion

Ripple’s $500 million strategic investment round marks more than a funding milestone — it consolidates the company’s transition from a payment protocol to a comprehensive blockchain financial infrastructure provider.

With institutional-grade products, a regulated stablecoin, and an expanding global presence, Ripple is now a leading player connecting traditional finance with digital assets through secure, compliant technology.

Resources:

1. Announcement - Ripple Announces $500 Million Strategic Investment Led by Fortress and Citadel Securities, Valuing the Company at $40 Billion Following Record Growth: https://ripple.com/ripple-press/ripple-announces-500-million-strategic-investment-led-by-fortress-citadel-securities-valuing-the-company-at-40-billion-following-record-growth/

2. Ripple raises $500M at $40B valuation - Report by the Street: https://www.thestreet.com/crypto/business/ripple-raises-500m-at-40b-valuation

3. Fintech Ripple gets $40 billion valuation after $500 million funding - report by CNBC: https://www.cnbc.com/2025/11/05/ripple-gets-40-billion-valuation-after-500-million-funding-round.html

4. Press release - Ripple Teams up with Mastercard, WebBank, and Gemini to Bring Stablecoin Settlement with RLUSD to Improve Fiat Payments: https://www.businesswire.com/news/home/20250807771714/en/Ripple-to-Acquire-Rail-for-%24200M-Expanding-Leadership-in-Stablecoin-Payments

5. Announcement - Ripple Breaks into Corporate Treasury with $1B GTreasury Acquisition: https://www.gtreasury.com/news/ripple-acquires-gtreasury