According to the company’s latest announcement, Ripple acquired Algrim, a crypto trading firm based in Iceland. Expanding its engineering team with six more members, the company now focuses on integrating its product with partnered crypto exchanges and on cross-border payments. The vice president of products, Amir Sarhangim stated that the acquisition will benefit Ripples’ on-demand liquidity product.
While the financial aspects of the contract remain unknown, Sarhangi stated that the acquisition is about gaining expertise and that new members add more knowledge to the team.
Algrim has previously developed a cryptocurrency trading platform that captured more than 30 markets. For more than a decade, the firm previously developed traditional trading platforms and foreign exchange trading algorithms. What is more fascinating is that the firm was a victim of the famous ‘Big Bitcoin Heist’ in Iceland, which occurred at the end of 2017.
Ripple is already present on several continents, including cities such as New York, Sydney, San Francisco, London, Sao Paulo, and Singapore. This is the first time that Ripple steps on the cold land of Iceland, which Sarhangi remarked as a step toward expanding engineering talent as Ripple enters different parts of the world.
Apart from increasing engineering expertise, Ripple can now come up with better solutions for its RippleNet product. As a company that focuses on cross border payments, RippleNet allows easier and faster XRP transactions between nations. While the transactions are not direct crypto-to-crypto trades, fiat money is instead first converted to XRP and then traded for other sums of XRP from people all around the world.
Businesses that will implement the RippleNet product are required to have a large supply of XRP to accommodate the necessary liquidity demand. To do so, the new engineering members from Algrim will help with the creation of Ripple’s ‘On-demand liquidity.’
In that respect, Ripple’s new office in Iceland will serve as a regional hub for international expansion. At the time of writing, the RippleNet product has several customers, such as Xendpay, MoneyGram, Mercury FX, Cuallix, and others. Additionally, the recent acquisition of Logos, a business incubator that will help build out the XRP ecosystem.
While the recent decisions and acquirements certainly hold out a long-term prospect, the events so far had a negative effect on XRP’s price. At the moment, the price of XRP is lower than what it was valued at before the famous bull run of 2017.
Valued at $0.24, the price resulted in drama that was caused by a significant portion of the Ripple community on Twitter. Users went as far as to claim that they will create a hardfork of XRP, to counter the company’s decisions which ‘dumped’ the price.
The drama caused several problems for Ripple, whose reputation was questioned at the time. However, the threats only remained threats as there is no serious push for a community hard fork. As several Ripple representatives claim, the recent partnerships were for the long-term future of the platform.