Ripple, the top supplier of digital asset infrastructure for financial institutions, and BDACS, a prominent institutional custody firm for digital assets in Korea, have announced a strategic alliance to support institutional custody for XRP and Ripple USD.
The partnership will allow BDACS to incorporate Ripple Custody, the firm’s institutional solution for crypto and digital asset storage, to secure XRP, Ripple USD (RLUSD), and other cryptocurrencies for South Korean financial institutions.
What Will The Partnership Include?
According to the platform’s official release, the collaboration will boost the development of XRPL developers and its ecosystem, increase the usage of Ripple’s stablecoin (RLUSD), and take use of synergies with Busan, Korea’s blockchain regulation-free zone, by offering institutional investors safe custody services for XRP and RLUSD.
The partnership comes as the Financial Services Commission’s (FSC) recently released regulatory approval roadmap for institutional engagement in the digital asset market aligns with this agreement.
Together, BDACS and Ripple hope to expand technical and business potential in South Korea and develop the institutional-level custody market.
Speaking on the partnership, BDACS’s CEO, Harry Ryoo, said, “BDACS will provide a secure and reliable custody service to support Ripple’s pioneering blockchain initiatives. Ultimately, this partnership will enable both companies to enhance and expand the digital asset ecosystem.”
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Under Partnership, BDACS will make use of Ripple Custody
In order to securely store, manage, and access digital assets while upholding bank-grade security, BDACS will make use of Ripple Custody, which offers institutional-grade software infrastructure for crypto custodians, exchanges, OTC markets, and more.
By 2030, 10% of the global GDP is anticipated to be tokenized, and the total value of crypto assets held is predicted to reach $16 trillion. Any digital asset business is built on custody, which opens up new applications in tokenization, asset management, stablecoin issuance, and other areas.
The demand for specialist digital asset custody services is anticipated to rise as a result of the favorable legislative environment in Korea, which has established a framework for stablecoins and permitted corporate participation in digital assets.
One of the first institutional-grade custody providers in this developing industry, BDACS allows investors to safely trade XRP, RLUSD, and other digital assets inside Korea’s regulatory framework.
Ripple’s New Roadmap
Ripple Labs announced a new plan for creating an institutional decentralized finance (DeFi) ecosystem on the XRP Ledger blockchain network in conjunction with the collaboration with the South Korean crypto custodian.
The proposed roadmap consists of a permissioned decentralized exchange (DEX), a credit-based DeFi lending system, and a new token standard called multi-purpose token (MPT).
The roadmap for XRP Ledger expands upon the current infrastructure, which includes an automated market maker and price oracles.
Also Read: South Korea’s Crypto Exchange Market Shrinks Amid Regulatory Pressure