Ripple is diversifying into more cryptocurrencies with Liquidity Hub, new service for enterprises

By Selena On Nov 10, 2021

Ripple revealed plans for a crypto liquidity platform for financial institutions to source digital assets from the broader crypto market as a way to accelerate a shift to the space, called Liquidity Hub. In a major change, they are diversifying into more cryptocurrencies, which will support Bitcoin, Ethereum, Litecoin, Ethereum Classic, and Bitcoin Cash in addition to XRP.

Global #crypto liquidity is able to support massive payments at scale – it’s the lifeblood of crypto.

Ripple Liquidity Hub will allow enterprises to source, trade, move and manage value from a variety of liquidity venues.

Coming 2022.#RippleSwell https://t.co/wxenpTfCIH pic.twitter.com/sMUb1kDXZZ

— Ripple (@Ripple) November 9, 2021

Ripple moving beyond XRP with Liquidity Hub that supports Bitcoin and other cryptocurrencies

“While there are many exchanges supporting liquidity through the consumer trading of digital assets, a true crypto-first world will remain elusive without enterprise participation,” Ripple said in a Tuesday blog post. “Just as ubiquity for electric vehicles is impossible absent large automakers like Ford and Volvo, mainstream crypto requires engagement from financial institutions.”

The service will enable financial firms to navigate the fragmented market by providing seamless access to market makers, OTC desks, and cryptocurrency exchanges. Enterprises would use it to offer their customers the chance to buy, sell and hold digital assets across different venues without the need for up-front funding, long integrations, and other bottlenecks.

“Crypto and financial institutions are embedded in our DNA. So, it makes perfect sense that as they prepare for a crypto-first world, our customers would want access to the same trusted one-stop-shop for buying, selling, and holding crypto assets that have powered our extensive work with financial institutions”, RippleNet General Manager Asheesh Birla says that the service will function similarly to On-Demand Liquidity (ODL) since it relies on the same technology.

RippleNet has been using the crypto sourcing technology for about two years and now looks to launch a customer-facing version of the product in 2022.

The new product comes as Ripple also plans to join the booming DeFi ecosystem by providing staking and profit-making functions. The new service will potentially open up a new revenue stream for the company. Ripple made nearly all of its money selling XRP, which is inconsistent with the U.S. Securities and Exchange Commission (SEC).

Last December, the SEC sued Ripple for allegedly pocketing $1.3 billion by illegally selling XRP created by its current and former employees. Yesterday, the SEC won a court victory by gaining access to audio recordings of the company’s internal meetings, as AZCoin News reported.

Read more: