TL;DR
- Ripple has sold its 40% stake in Tranglo, a major partner in cross-border payments.
- Ripple’s exit from Tranglo has sparked controversy in the XRP community.
- The reason behind this decision is unclear, although it could be related to strategic changes.
Ripple has surprised the crypto community with the recent sale of its 40% stake in Tranglo, a Malaysian payments firm that had used XRP to facilitate international transactions.
This move, initially reported by Crypto Eri on X, has sparked mixed reactions, especially considering the importance that Tranglo had in Ripple‘s expansion strategy through its On-Demand Liquidity (ODL) service.
Crunchbase updated Ripple investment EXITS.
Bitstamp exit was probably due to the Robinhood acquisition, but surprised to see @Tranglo, where Ripple held a 40% stake in the cross-border payment company that utilized #XRP (ODL).
Additional confirmation recommended. pic.twitter.com/dmEF8lIXpF
— 🌸Crypto Eri 🪝Carpe Diem (@sentosumosaba) July 15, 2024
While Ripple’s exit from fellow partner Bitstamp appears to be linked to the platform’s acquisition by Robinhood, the motive behind Tranglo’s sale remains a mystery.
The XRP community has reacted with mixed opinions.
Some users have expressed concern, suggesting that this news could be an attempt to discredit both Ripple and Tranglo.
On the other hand, there are critics who argue that the information provided on Crunchbase might not be completely accurate, as Tranglo is a private company and its status does not imply a public exit, as Ripple’s exit list might imply.
It is relevant to note that Tranglo, which partnered with XRP in 2021, had played a crucial role in integrating XRP into its payment routes, resulting in a significant increase in transaction volumes.
In 2022, Tranglo processed approximately $970 million through Ripple’s ODL service, compared to just $53 million in the previous period, highlighting the importance of this collaboration.
Thoughts on the Future of Ripple and Tranglo
Ripple’s lack of an official statement on the reasons for its exit has left the community with questions about the implications for the future of XRP in cross-border payments.
This situation highlights the complex nature of investments and partnerships within the cryptocurrency space.
As Ripple continues to evolve, the impact of this decision on its overall strategy and use of XRP will be under close attention.
The dynamics within the crypto ecosystem are volatile and subject to constant change.
Ripple and Tranglo, through their partnership, had demonstrated the potential of XRP to transform international transactions.
However, this latest move adds a layer of uncertainty over the future of these collaborations and their relevance in the market.
Investors and industry observers should remain vigilant for any updates regarding this situation.
