Ripple has made significant strides in the financial sector by acquiring Hidden Road, a prime broker, for $1.25 billion, a deal finalized in October 2025. This strategic acquisition positions Ripple as the first cryptocurrency company to own a global, multi-asset prime brokerage, now known as Ripple Prime. Ripple Prime is responsible for clearing over $3 trillion in trades each year for more than 300 institutional clients, including hedge funds and trading firms that traditionally steer clear of crypto exchanges.
Following the acquisition, Ripple has committed to migrating Hidden Road’s post-trade operations onto the XRP Ledger, aiming to streamline processes and reduce costs. Ripple Prime’s CEO, Mike Higgins, has articulated a vision for the future that encompasses the tokenization of various assets using cryptocurrencies as collateral for margin and settlement.
However, despite these advancements, the integration of Ripple Prime into existing financial infrastructure does not automatically imply that XRP will surge in value. Ripple Prime is currently integrated into Wall Street’s existing clearing systems, particularly through the National Securities Clearing Corporation (NSCC), where it has been recognized as a significant non-bank prime broker. Furthermore, Ripple Prime has been included in the Depository Trust & Clearing Corporation’s (DTCC) tokenization working group, which consists of several major financial firms tasked with establishing the ground rules for trading and settling tokenized securities.
Despite these achievements, analysts have pointed out that Ripple Prime’s current operations do not utilize the XRP Ledger for settling transactions. This poses a question about how the impending migration could influence the price of XRP, which is currently trading around $1.08.
For the anticipated transfer of Ripple Prime’s activities to the XRP Ledger to affect the price of XRP, one of three pathways must be established. The first is through transaction fees, which are too minimal to significantly influence the token’s supply—the XRP Ledger was designed to be cost-effective, with transaction fees being destroyed upon payment. The second pathway, collateral usage, presents a more viable option for driving demand. Institutions could use XRP as collateral for loans and trades, resulting in actual demand through the need to buy, hold, and lock up XRP tokens. However, the extent of XRP being utilized as collateral within Ripple Prime is currently undisclosed.
The third, and perhaps the least favorable, pathway is the ongoing dominance of Ripple’s own dollar stablecoin, RLUSD, which is largely being used for transactions within Ripple’s ecosystem. This indicates that even if Ripple Prime successfully migrates to the XRP Ledger, it could operate efficiently with RLUSD rather than XRP, which would not positively impact XRP’s liquidity or price.
Moreover, there’s a pressing need for broader industry acceptance of XRP as collateral or margin by external banks and clearing firms. As it stands, the significant financial institutions involved are already developing their blockchain systems, leading to uncertainty regarding the integration of the XRP Ledger. Without widespread backing from these firms, the relationship between Ripple Prime and the XRP price remains tenuous at best.
Currently, the market reflects skepticism about XRP’s potential to appreciate in value from this integration, as evidenced by the disparity between Ripple Prime’s growth and XRP’s decreasing price over the same period. For XRP’s demand to genuinely benefit from Ripple Prime, external validation from banks and clearing firms must materialize, making the first firm willing to accept XRP as collateral a pivotal player in transforming the token’s market dynamics. Until such developments occur, Ripple Prime may continue to thrive while XRP remains largely stagnant.
