Ripple Completes $500 Million Strategic Funding Round To Push Valuation To $40 Billion

The U.S.-based fintech company Ripple has secured $500 million in strategic investments from major institutional players to push its valuation to $40 billion. The raise, which comes after Ripple’s $1 billion tender offer, underscores the growing institutional confidence in the company’s vision to expand beyond payments into custody, stablecoins, brokerage, and treasury management.

Ripple Raises $500M At $40B Valuation

Ripple Labs, the payment company behind the XRP crypto, has announced a $40 billion valuation following its latest $500 million strategic funding round. Ripple announced that its latest funding round saw participation from affiliates of Fortress Investment Group and Citadel Securities, with contributions from Pantera Capital, Galaxy Digital, Brevan Howard, and Marshall Wace.

Ripple Labs notes that the $500 million investment comes on the heels of its $1 billion tender offer completed earlier this year at the same valuation. This is the biggest funding round completed by the company since the Series C round of 2019, where it raised $200 million at a $10 billion valuation.

According to Ripple, the funds will be used to expand its offering into broader asset infrastructure, not just cross-border payments. In recent months, Ripple has made a number of acquisitions as it expands its product base into stablecoins, custody, brokerage, and treasury management. 

Ripple has purchased Rail (a stablecoin infrastructure firm), GTreasury (Treasury), Paliside (custodial service provider), and Hidden Road (prime brokerage platforms). The aim is for Ripple to grow into a full-service partner for institutions using crypto and blockchain. 

The announcement also comes amidst Ripple’s partnership with Mastercard, WebBank, and Gemini to enable its RLUSD stablecoin for payments. Ripple has been strategically expanding its services and strengthening ties with traditional financial giants since the GENIUS Act brought crypto-friendly laws.

2025, Ripple’s Most Successful Year

Ripple’s decision to accept the $500 million raise comes on the back of a record growth year. In announcing the deal, Ripple noted that 2025 has been the company’s most successful year to date. The release highlighted several achievements, including recording a turnover of over $95 billion for its payment system and its RLUSD stablecoin surpassing a market cap of $1 billion.

Ripple has now obtained 75 regulatory licenses worldwide to facilitate seamless cross-border transactions, while tripling the size of its Ripple Prime arm. Ripple now already uses the RLUSD as collateral on Ripple Prime, showing another step in stablecoin utility.

The company has also repurchased over 25% of its outstanding shares in recent years, in a bid to increase the value it offers to employees and early investors. With its product expansion, Ripple will also launch collateralized lending of the XRP coin to serve an expanding roster of institutional traders.

Brad Garlinghouse, the chief executive officer of Ripple, said that the announcement felt like “the cherry on top of a mountain of good news,” highlighting how much the company has grown. Garlinghouse also notes that the fundraising also confirms the market opportunity that his company is aggressively targeting.