Ripple to Acquire Rail for $200M to Expand Stablecoin Payments Infrastructure

Ripple has agreed to acquire Rail, a Toronto-based stablecoin-powered payments platform, for $200 million, according to a press release shared by the company on Thursday. The acquisition is intended to strengthen Ripple’s stablecoin infrastructure and expand its digital asset offerings, particularly in the cross-border payments sector. The deal is expected to close in Q4 2025, pending regulatory approval [1].

Rail, backed by venture capital firms Galaxy Ventures and Accomplice, specializes in enabling real-time, compliant cross-border transactions using stablecoins. It currently serves fintechs, payment providers, neobanks, and enterprise organizations. The platform offers virtual accounts and automated back-office infrastructure, which Ripple stated will complement its existing digital asset services. Together, the combined platform will provide a more streamlined and efficient solution for businesses seeking to leverage stablecoins for international payments [4].

Rail CEO Bhanu Kohli noted that the company has been developing stablecoin-based payment solutions for over four years. According to Kohli, Rail is projected to process over 10% of the $36 billion in global B2B stablecoin payments in 2025, according to Artemis Analytics [4].

Monica Long, Ripple’s President, emphasized that stablecoins are becoming a cornerstone of modern finance. “With Rail, we are uniquely positioned to drive the next phase of innovation and adoption of stablecoins and blockchain in global payments,” she said. Ripple has already invested over $3 billion in strategic acquisitions and opportunities, and this deal is expected to reinforce its leadership in the digital asset space [4].

The acquisition marks another move in Ripple’s broader strategy to deepen its presence in the stablecoin market. In recent years, Ripple has expanded its infrastructure through mergers and acquisitions, including a $1.25 billion deal for crypto-friendly prime brokerage Hidden Road. The company had also previously attempted to acquire Circle, another major stablecoin provider, but that effort was abandoned as Circle went public [4].

Rail’s infrastructure includes partnerships with more than 12 banks, providing clients with increased redundancy and reliability. Its technology enables clients to manage operations and customer payments using virtual IBANs and named accounts. Ripple’s compliance framework, supported by over 60 licenses, will further enhance the security and regulatory compliance of the combined platform [4].

Ripple expects the integration of Rail to enable the use of its RLUSD stablecoin and XRP cryptocurrency in facilitating cross-border transactions. RLUSD, launched in December, has a market cap of $611 million. XRP has shown recent volatility, spiking 1.9% on Thursday to a local high of $3.08 but declining 4.9% over the past two weeks, according to CoinGecko [4].

The deal reflects Ripple’s ongoing commitment to strengthening its position in the global digital asset market. As stablecoins gain traction as tools for cross-border transactions, the acquisition is expected to accelerate adoption and provide more scalable solutions for businesses [1].