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      Ripple Expands into Prime Brokerage with $1.25 Billion Acquisition of Hidden Road

      Ripple has entered the prime brokerage market following its acquisition of Hidden Road for $1.25 billion, marking a significant shift for the cryptocurrency company. The rebranded entity, Ripple Prime, is now generating revenue through prime brokerage fees associated with leveraged equity trades, a sector traditionally dominated by banks on Wall Street.

      As of October 2026, Ripple Prime has begun booking revenue by financing leveraged equity products using total return swaps. This financial instrument allows Ripple to provide the necessary financing while earning fees based on the performance of stocks or indices. An example of this is the Tradr 2X Long SNDK Daily ETF, which is linked to the performance of Sandisk shares, with Ripple Prime supplying the financing.

      The prime brokerage market is substantial, with 593 leveraged exchange-traded funds (ETFs) in the United States managing over $256 billion in assets. Ripple Prime's operations include a diverse range of financial services, processing over $3 trillion in annual clearing volume and serving more than 300 institutional clients. Since the acquisition, Ripple's business has reportedly tripled in size, and the firm held over $1 billion in regulatory net capital by late 2026.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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