Ripple to Acquire Rail for $200 Million to Expand Stablecoin Payments

TLDR

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Ripple will acquire Rail for $200 million to enhance its stablecoin payments infrastructure.
Rail handles 10% of global stablecoin-based payment activity, speeding cross-border payments.
The acquisition follows Ripple’s $1.25B deal for Hidden Road to boost RLUSD’s liquidity.
Ripple aims to solidify its market position in the stablecoin space with this $200 million deal.

Ripple has announced the acquisition of the stablecoin payments platform Rail for $200 million. The deal, expected to close in the fourth quarter of 2025 pending regulatory approvals, positions Ripple to further strengthen its stablecoin infrastructure and enhance cross-border payment capabilities. This acquisition comes after Ripple’s previous investments in the stablecoin sector, including its own stablecoin RLUSD, launched in 2024.

Monica Long, president of Ripple, stated that the acquisition of Rail would solidify the company’s market leadership in stablecoin payments. “As regulations become clearer and the space has grown and matured, this opportunity for stablecoin payments is really ripe,” Long said in an interview. The transaction will enable Ripple to deliver a more comprehensive stablecoin payments solution to its customers.

Rail’s Role in Global Stablecoin Payments

Toronto-based Rail has emerged as a prominent player in the stablecoin payments space, processing cross-border payments using stablecoins. The company, backed by investors such as Galaxy Ventures and Accomplice, claims responsibility for about 10% of all global stablecoin-based payment activity.

Rail’s system allows for faster and cheaper transactions compared to traditional fiat payments, which often take longer to settle.

Rail’s technology has helped businesses complete cross-border payments in just a few hours, compared to the several days it can take with conventional banking methods. This capability is expected to complement Ripple’s own ambitions in the digital payment space, particularly as the demand for efficient, low-cost international transactions continues to grow.

Regulatory Environment and Ripple Strategy

The acquisition of Rail comes at a time when stablecoin regulations are gaining traction in the United States. In July 2025, U.S. President Donald Trump signed the GENIUS Act, a bill that established a federal framework for regulating stablecoins.

Analysts believe that clearer regulations will make it easier for companies to enter the stablecoin market, potentially accelerating the adoption of digital assets for everyday payments.

Ripple, which issued RLUSD as a U.S. dollar-pegged stablecoin in 2024, has been proactive in aligning with regulatory developments. The company is seeking to capitalize on the evolving landscape by expanding its stablecoin infrastructure. With Rail’s acquisition, Ripple will also gain a regulated payments front in Canada, the U.S., and key emerging markets, offering stablecoin solutions to a broader customer base.

Ripple Expanding Stablecoin Portfolio

Ripple’s purchase of Rail is part of a broader strategy to expand its stablecoin offerings and market reach.

In April 2025, the company also acquired multi-asset prime broker Hidden Road for $1.25 billion, a move aimed at enhancing the liquidity and custody of its RLUSD stablecoin. Ripple’s growing stablecoin portfolio now includes RLUSD and additional infrastructure that can support both institutional and retail customers.

The company’s increased investment in the stablecoin market underscores its confidence in the future of digital currencies and blockchain-based payment solutions. As Ripple continues to expand its product offerings, its efforts to comply with U.S. and global regulations are expected to help it solidify its position as a leader in the stablecoin space

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