Ripple Prime Secures $200 Million… Is the Era of Institutional XRP Truly Opening?

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Ripple’s institutional-exclusive prime brokerage platform, ‘Ripple Prime,’ has successfully secured $200 million in funding, raising expectations for increased institutional demand based on the XRP Ledger (XRPL). Market analysis suggests that this funding could serve as a stepping stone for expanding XRP liquidity and the utilization of Ripple USD (RLUSD).

According to the cryptocurrency media outlet Finbold on May 11 (local time), Ripple Labs' institutional-exclusive prime brokerage platform, Ripple Prime, secured a $200 million debt financing facility from Neuberger Specialty Finance, a subsidiary of Neuberger Berman. This agreement allows for flexible long-term funding, aimed at responding to an increase in institutional clients and an expansion in demand for margin financing.

Noel Kimmel, President of Ripple Prime, stated, “Stable funding capabilities and financial soundness are key factors for institutional investors. This agreement enables us to provide greater margin supply capacity, quick responsiveness, and capital efficiency.” Ripple Prime can withdraw up to $200 million as needed, and these funds will be used to expand loans to clients in traditional finance and digital asset markets.

Ripple Prime provides integrated prime brokerage services to institutional investors, allowing them to trade traditional and digital assets simultaneously. The media outlet reported that as institutional clients increase, the use of XRP as a liquidity management tool and Ripple USD (RLUSD) for settlements is highly likely to naturally increase. It also analyzed that the demand for on-chain transaction execution using the XRP Ledger (XRPL) could expand.

Neuberger Berman is a global asset management firm with approximately $600 billion in assets under management (AUM). With this funding, Ripple Prime has secured a foundation to support larger institutional positions, market making, and complex trading strategies. Peter Sterling of Neuberger Specialty Finance highly evaluated the potential for further growth, stating, “Ripple Prime has already tripled its revenue year-over-year.”

The market anticipates that an increase in institutional capital inflow could bolster the long-term bullish outlook for XRP. The media outlet assessed that if Ripple Prime's growth and increased institutional demand for XRPL are connected, the overall liquidity and utility of the XRP ecosystem could be strengthened.

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