Ripple Retracts Acquisition Plans for Fortress Trust

Following the missive of intent to get Fortress Trust, Ripple CEO Brad Garlinghouse announced the institution has decided “not to determination guardant with an outright acquisition.” Garlinghouse didn’t mention circumstantial reasons for dropping the woody but said Ripple planned to stay an capitalist successful Fortress.

Garlinghouse Announces Ripple’s Withdrawal From Fortress Trust Deal

On Thursday, Ripple’s CEO confirmed the institution has shelved its plans to acquisition crypto custodian steadfast Fortress Trust. The Nevada-licensed fiscal services provider, founded by Scott Purcell, erstwhile CEO of the now-defunct crypto custodian Prime Trust, caught Ripple’s interest successful aboriginal September 2023. At the time, Garlinghouse expressed Ripple was “excited to bring connected this squad and its exertion to accelerate our business.”

Garlinghouse has since addressed the nationalist connected societal media level X, explaining the woody isn’t proceeding. “A fewer weeks ago, we signed a missive of intent to get Fortress Trust – we’ve since made the determination not to determination guardant with an outright acquisition, though Ripple volition stay an capitalist successful Fortress,” Garlinghouse posted.

The Ripple brag added:

The Fortress squad is incredibly talented, and has built products solving existent lawsuit problems. While this result is antithetic from what was primitively planned, we’ll proceed to enactment them and anticipation to enactment unneurotic successful the future.

Interestingly, successful the aforesaid week arsenic the acquisition quality surfaced, Fortress divulged it was “impacted by a third-party vendor.” Subsequent reports shed airy connected Ripple’s alleged involution to reconcile Fortress’s customers. Reportedly, Fortress mislaid astir $15 cardinal during the breach.

With the woody present disconnected the table, Fortress re-posted Garlinghouse’s remarks connected their authoritative X relationship page, sharing his societal media posts concerning the deal. Fortress has raised funds from Mighty Capital, Salt, Ayon Capital, Nevcaut Ventures, Eagle River, and Ripple.

What bash you deliberation astir Ripple squashing the Fortress Trust deal? Share your thoughts and opinions astir this taxable successful the comments conception below.