The deal is designed to strengthen Ripple’s standing in digital asset payments infrastructure, according to a Thursday (Aug. 7) news release.
“Stablecoins are quickly becoming a cornerstone of modern finance, and with Rail, we are uniquely positioned to drive the next phase of innovation and adoption of stablecoins and blockchain in global payments,” Ripple President Monica Long said in the release. “Ripple has one of the most widely used digital asset payment networks in the world, and this acquisition underscores our commitment to helping our global customer base to move money wherever and whenever they need.”
Ripple’s Ripple Payments offers “a broad payout network,” digital asset liquidity, and more than 60 licenses to manage customers’ payment flows, the release said. Rail will add to these capabilities with virtual accounts and automated back-office infrastructure.
“Over the last four years, Rail built the fastest way to settle business payments internationally using stablecoins, and in 2025, Rail is forecasted to process over 10% of the $36 billion global B2B stablecoin payments,” Rail CEO Bhani Kohli said in the release. “Ripple shares our vision, and together, we’re excited to bring our innovation to the millions of businesses that move money internationally.”
Ripple has invested more than $3 billion to date in “acquisitions and strategic opportunities,” and is committed to expanding via mergers and acquisitions (M&A), according to the release. The Rail deal is expected to close in the fourth quarter of this year.
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Stablecoins are evolving “from cryptocurrency novelty to enterprise-grade payment infrastructure,” PYMNTS wrote last week.
“The shift is less about speculative upside and more about plumbing — digitizing conventional rails with programmable, fiat-pegged settlements that reduce cost, increase speed and build transparency across borders,” the report said.
The change is being championed at the federal level in the United States, with the Securities and Exchange Commission releasing new guidance on how dollar-pegged stablecoins can function as regulated, fiat-linked payment tools, so long as they meet strict criteria.
