SAN FRANCISCO – Crypto firm Ripple has raised $500 million in a new funding round led by Fortress Investment Group and Citadel Securities, valuing the company at $40 billion, the firm announced on Wednesday.
The strategic investment follows Ripple’s $1 billion tender offer earlier this year at the same valuation. The company said the fresh capital will be used to strengthen partnerships with financial institutions and expand its growing suite of products, including custody, stablecoins, prime brokerage, and corporate treasury services.
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The funding round comes amid a surge in institutional interest in stablecoins following the passage of the GENIUS Act, which established a regulatory framework for digital dollar assets. Ripple’s stablecoin, Ripple USD (RLUSD), has seen increased adoption for treasury payments and collateral management.
“Fintechs and traditional financial firms are leveraging stablecoins to simplify cross-border transactions, accelerate settlements, and expand access to digital finance,” Ripple said in a statement.
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Under the crypto-friendly Trump administration, Ripple plans to further promote institutional use of its XRP token and broaden its presence in global capital markets. “This investment reflects both Ripple’s incredible momentum and further validation of the market opportunity we’re aggressively pursuing,” Ripple CEO Brad Garlinghouse said.