Ripple Expands Security & African Reach Amid XRP ETF Hopes

Ripple has taken significant steps to bolster institutional adoption of its XRP Ledger network through a strategic collaboration with Immunefi, a leading blockchain security platform. This partnership specifically targets enhancing the security of the XRPL Lending Protocol, which represents a cornerstone of Ripple’s enterprise-focused blockchain strategy. The protocol offers pooled lending and underwritten credit natively on the network, designed to automate the entire loan lifecycle from issuance to repayments.

The collaboration with Immunefi marks a critical move in Ripple’s broader institutional adoption efforts, addressing security concerns that have historically hampered enterprise blockchain implementation. By focusing on institutional-grade security for its lending protocol, Ripple aims to position the XRP Ledger as a viable platform for traditional financial institutions seeking to leverage blockchain technology for lending operations.

Concurrent with its security enhancements, Ripple has expanded its African footprint through a partnership with South Africa’s Absa Bank, one of the continent’s leading financial institutions. This collaboration enables Absa Bank to integrate Ripple’s custody technology for managing tokenized assets, including cryptocurrencies. The partnership represents a mutual benefit: Absa gains access to Ripple’s institutional-grade technology while Ripple advances its mission to integrate digital assets into mainstream financial operations across Africa.

This expansion follows Ripple’s previous deployment of its native stablecoin, RLUSD, in African regions last month. Monica Long, Ripple’s President, confirmed the development via social media, stating: “Last month, we announced RLUSD live on the African continent…and today so is Ripple Custody through our partnership with Absa Bank.” The African market represents a strategic growth area for Ripple as it seeks to establish deeper roots in emerging financial markets.

Following the closure of Ripple’s legal case against the US Securities and Exchange Commission, market attention has shifted to the potential approval of spot XRP ETFs. Current data from prediction market Polymarket indicates near 100% probability for XRP ETF approvals by year-end. However, the ongoing US federal government shutdown has created regulatory delays, preventing the SEC from granting any approvals in the immediate term.

Amid this regulatory uncertainty, Volatility Shares has filed applications to launch leveraged ETFs tracking several assets, including XRP. These products have drawn criticism from industry commentators, with Scott Melker, known as The Wolf Of All Streets, describing leveraged ETFs as the “worst idea ever” following recent market turbulence exacerbated by excessive trader leverage.

XRP’s price performance has reflected broader market volatility, with the asset plunging to multi-year lows below $1 during recent market turbulence. Although XRP recovered alongside the broader cryptocurrency market, it has struggled to maintain momentum above $2.50. The token’s inability to stage a significant recovery above this level has raised concerns among market observers.

Whale activity during the market downturn has been particularly notable, with large market participants disposing of more than 2.2 billion XRP tokens in just a few days during and after the market meltdown. This substantial selling pressure from major holders suggests potential continued price pressure. Analyst opinions remain divided on XRP’s future trajectory, with ERGAG CRYPTO noting that the asset’s wedge pattern suggests a significant move is imminent, with probabilities favoring an upswing at 57% versus a breakdown at 43%.