Hidden Street, the prime brokerage agency that is being acquired by Ripple, has obtained approval to function as a U.S. broker-dealer from the Monetary Trade Regulatory Authority (FINRA), the corporate mentioned Thursday.
The license, granted to its subsidiary Hidden Street Companions CIV US LLC, will enable the agency to develop its fastened revenue prime brokerage platform, in accordance with the press launch. With the broker-dealer standing, the agency plans to supply institutional purchasers a broader vary of regulatory-compliant companies in clearing, financing and prime brokerage of fastened revenue belongings.
“[This] is a big step within the growth of Hidden Street’s fastened revenue prime brokerage platform and bolsters our capabilities in conventional monetary markets,” Noel Kimmel, the agency’s president, mentioned in a press release.
The event follows Hidden Street’s announcement earlier this month that it had entered into an settlement to be acquired for $1.25 billion by Ripple, the blockchain infrastructure companies agency intently related to the XRP Ledger (XRPL) community. The acquisition is topic to regulatory approval and anticipated to shut within the coming months.
Backed by Ripple’s sources, Hidden Street mentioned it expects to scale companies considerably and place itself as one of many largest non-bank prime brokers. The agency additionally mentioned earlier that it plans emigrate its post-trade operations onto the XRPL community, aiming to cut back prices and streamline settlement processes.
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