The purchase was a key part of the company’s strategy to expand outside the US amid regulatory uncertainty. In addition, the company aims to provide institutional investors with custody services for cryptocurrencies.
“The engagement of Metaco is essential to our growing product portfolio and expanding global footprint,” Ripple CEO Brad Garlinghouse said in a statement.
Ripple will become the sole shareholder of Metaco, which will continue to operate as an independent business unit led by its founder and CEO, Adrien Treccani.
In 2020, Ripple and some of its executives faced legal action from the U.S. Securities and Exchange Commission (SEC) over an unregistered sale of about $1.3 billion worth of XRP tokens.
Garlinghouse recently estimated that the legal battle would cost the company about $200 million and warned crypto entrepreneurs against starting a business in the US.
Earlier, the Ripple executive expressed regret that US regulators are resisting the development of regulatory rules to regulate the industry, preferring to apply outdated rules to it.
Source: Bits
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