Ripple-Absa Partnership May Expand XRP and Crypto Custody Options for African Institutions

• Ripple joins with Absa to deliver institutional digital-asset custody across South Africa and broader Africa.

• Absa will rely on Ripple’s custody infrastructure to offer secure storage for tokenized assets and cryptocurrencies to its clients.

• Absa manages 2.07 trillion ZAR (~$119.5B) in assets and reported $6.34B in revenue last year, underlining the scale of the market opportunity.

Ripple Absa custody partnership: Ripple teams with Absa to offer institutional digital asset custody in South Africa. Read COINOTAG coverage and implications now.

By COINOTAG — Published: 2025-10-15 | Updated: 2025-10-15

What is the Ripple and Absa custody partnership?

Ripple Absa custody partnership is a strategic agreement in which South African bank Absa will offer institutional-grade custody services for tokenized assets and cryptocurrencies using Ripple’s custody infrastructure. The collaboration positions Absa as Ripple’s first major custody partner in Africa and extends Ripple’s institutional footprint on the continent.

How will Absa deploy Ripple’s custody infrastructure?

Absa will integrate Ripple’s custody solution behind its client-facing platforms to secure digital assets for corporate and institutional customers. Ripple’s infrastructure supports tokenized assets and cryptocurrencies and is designed to meet compliance and custody standards required by regulated financial institutions. Reece Merrick, Ripple’s managing director for Middle East and Africa, said the deal “underscores Ripple’s commitment to unlocking the potential of digital assets on the continent.”

Ripple began onboarding institutions to its custody product after acquiring Standard Custody and filing a custody-focused trademark in mid-March 2024, scaling a service launched roughly a year earlier to serve banks and fintech back ends. The partnership follows Ripple’s recent regional activities, including RLUSD stablecoin distribution in Africa via local partners and collaborations with payment and exchange providers to enable crypto-enabled flows.

Source: Ripple

Why this matters for African finance and institutions

Traditional finance is increasingly integrating crypto infrastructure; institutional custody is a prerequisite for many banks and asset managers to provide crypto services. Absa’s scale — managing 2.07 trillion ZAR (approximately $119.5 billion) in assets and reporting $6.34 billion in revenue in the prior year — means the bank can materially increase institutional access to custody services across the region.

For Ripple, expanding custody in Africa strengthens its broader strategy to support tokenized markets and stablecoin distribution. Jack McDonald, Ripple’s senior vice president of stablecoins, has confirmed RLUSD distribution in Africa via local partners, indicating parallel progress on payments and custody layers.

Frequently Asked Questions

Will Absa customers be able to custody XRP, RLUSD and other tokenized assets?

Yes. Absa’s offering will leverage Ripple’s custody infrastructure to support cryptocurrencies and tokenized assets, including stablecoins like RLUSD where regulatory and compliance checks permit custody. Availability will depend on client eligibility and applicable local regulation.

How does Ripple’s custody service protect institutional assets?

Ripple’s custody solution uses institutional-grade security controls, segregation of client assets, and compliance-focused operational processes designed for regulated financial institutions. It was developed following Ripple’s acquisition of a dedicated custodian and aims to meet audit, control, and regulatory requirements expected by banks and asset managers.

Key Takeaways

• Strategic expansion: Ripple’s partnership with Absa marks a major step into African institutional custody, positioning Ripple as a custody provider for regional banks.
• Market scale: Absa’s sizable balance sheet (2.07 trillion ZAR) and revenue base underscore the commercial significance of the custody rollout.
• Next steps for institutions: Banks and fintechs should evaluate custody, compliance, and tokenization capabilities as enablers for new digital-asset products.

Conclusion

The Ripple Absa custody partnership advances institutional custody capabilities in South Africa by combining Absa’s market presence with Ripple’s custody infrastructure and tokenization tools. As traditional financial institutions continue to adopt crypto services, this collaboration could accelerate compliant access to tokenized assets in Africa. Watch for deployment timelines and regulatory clarifications as the service scales.