Key Notes
The acquisition will close in Q4 2025 following regulatory approvals and Trump's recent GENIUS Act passage.
Rail's virtual accounts and automated infrastructure will enhance Ripple's operational efficiency significantly.
The combined platform enables seamless stablecoin payments across major corridors without crypto balance sheet exposure.
Earlier today, August 7, blockchain firm Ripple announced the $200 million acquisition of stablecoin-powered payments platform Stellar Rail. This move comes as the company looks to expand its stablecoin infrastructure along with the use cases of its native RLUSD stablecoin. This is the first major acquisition by Ripple in the stablecoin space, following the passing of the GENIUS Act last month by the Trump administration.
Ripple Acquires Stablecoin Platform Rail
Ripple’s acquisition of the Rail stablecoin platform will happen in the fourth quarter of 2025, after all the necessary regulatory approvals. This acquisition will allow Ripple and Rail to deliver “comprehensive stablecoin payments” solutions. The latest acquisition comes as Ripple Labs considers expanding RLUSD use cases to Europe.
Rail enhances Ripple’s offerings by providing virtual accounts and automated back-office infrastructure, improving operational efficiency. In an interview with Reuters, Ripple President Monica Long said:
“As regulations become more clear and the space has grown and matured, this opportunity for stablecoin payments is really ripe, and the acquisition of Rail just really solidifies our market leadership in stablecoin payments.”
As stablecoin-based transactions gain momentum, Ripple and Rail will help customers adapt to this growing demand. Together they will facilitate seamless pay-ins and pay-outs using stablecoins across major corridors, including USD, without requiring businesses to hold crypto on their balance sheets.
Furthermore, a unified platform between Ripple and Rail will help to manage diverse payment needs such as customer-facing third-party transfers to internal treasury flows. This partnership will also bring access to a wide range of digital assets, such as RLUSD, XRP, and others, with competitive pricing for high-value transactions.
Rail Powers 10% of Global Stablecoin Payments
Toronto-based fintech firm Rail is emerging as a major player in cross-border payments using stablecoins. The company claims it facilitates 10% of all global stablecoin-based payment activity, offering faster and cheaper settlement compared to traditional fiat systems.
According to Rail, its stablecoin transactions can clear within an hour, much better than the timelines in traditional fiat payment rails. The news comes as the US advances stablecoin regulation.
Related article: Ripple Labs Locks 700,000,000 XRP In Escrow as Price Nosedives
In July, President Trump signed the GENIUS Stablecoin Act, establishing a federal regulatory framework for stablecoins. Analysts say the law could accelerate the use of digital assets in everyday payments and cross-border money transfers.
