"Ripple Acquires Hidden Road, Launches Virtual Asset OTC Service in the US"

Virtual asset (cryptocurrency) company Ripple, which recently acquired the prime brokerage platform Hidden Road, has officially launched an over-the-counter (OTC) virtual asset trading service for US institutional investors.

According to cryptocurrency-specialized media CoinDesk on the 30th (local time), Hidden Road plans to operate the service through a local entity regulated by the Financial Conduct Authority (FCA) of the United Kingdom, and aims to support cash-settled OTC swap transactions for US institutional investors.

OTC swaps are a type of cryptocurrency deal conducted privately rather than through a public exchange. Institutional investors typically use this method to buy and sell large quantities of cryptocurrency, which allows them to trade without heavily impacting the market price. This service from Hidden Road is seen as a first step to fill the previous lack of such transaction methods in the United States.

Michael D. Higgins, Global Head of Corporate Development at Hidden Road, stated, "OTC swaps account for a significant portion of global digital asset trading volume, but practical access has been limited for US institutions. With this service launch, we can now offer a broader range of products and solutions."

Previously, Ripple acquired Hidden Road in April for $1.25 billion (approximately ₩1,723.7 billion). This deal is considered Ripple's strategic move to strengthen its position as a non-bank prime broker in the digital asset prime brokerage market.