Ripple, the prominent crypto financial services company, has announced that it has secured preliminary approval for an Electronic Money Institution (EMI) license from the Commission de Surveillance du Secteur Financier (CSSF), Luxembourg’s financial regulator. This milestone comes shortly after Ripple obtained similar EMI license approval from the UK’s Financial Conduct Authority, marking a significant week of regulatory achievements for the firm.
The approval from Luxembourg, conveyed in a “Green Light Letter,” is a crucial step toward full EMI authorization. It positions Ripple to enhance its cross-border payment infrastructure throughout Europe. Ripple’s President, Monica Long, emphasized the importance of regulatory frameworks in the European Union, noting that the region was among the first to establish comprehensive digital assets regulations. These regulations provide clarity and assurance for financial institutions, facilitating the transition of blockchain technology from experimental phases to commercial applications.
Long highlighted Ripple’s commitment to broadening its licensing portfolio and evolving its payment solutions, stating that the company is focused on more than just transferring funds. Instead, it aims to manage the entire flow of value, unlocking significant amounts of dormant capital and steering traditional finance towards a digital future.
With the addition of the Luxembourg license, Ripple now boasts over 75 regulatory licenses worldwide. The Ripple Payments platform has seen considerable expansion, reaching more than 90% of daily foreign exchange markets and processing over $95 billion in transaction volume to date.
Cassie Craddock, Ripple’s Managing Director for the UK and Europe, described the preliminary approval as a pivotal moment that will enable the company to deliver essential blockchain infrastructure to clients throughout the EU. She emphasized that Ripple’s compliance-focused approach empowers businesses in the region to embrace the next wave of financial innovation.
On a positive note, XRP, the cryptocurrency that powers Ripple’s platform, has experienced a notable increase, rising over 3% in value amidst a broader upswing in the cryptocurrency market. At the time of the announcement, XRP was trading at approximately $2.17, reflecting growing investor confidence in Ripple’s regulatory progress and overall market conditions.