Ripple Labs has reportedly sold its stake in Tranglo, a Malaysia-based payments company that uses XRP for international transactions. The development was the first highlighted by Crypto Eri, a prominent member of the XRP community, in a post on X on Monday, citing Crunchbase updates.
Why are Ripple and Tranglo splitting up?
Latest Crunchbase records indicate Ripple is out investments in both Bitstamp exchange and Tranglo. While Bitstamp’s exit from the company appears to be aligned with Robinhood’s acquisition of Bitstamp, Tranglo’s divestment comes unexpectedly.
Tranglo was a integral part of Ripple’s strategy to improve global financial transactions using XRP. By leveraging the On-Demand Liquidity (ODL) ServiceTranglo has facilitated faster and cheaper international transactions. Ripple’s investment, representing a substantial 40% stake, underscored a deep commitment to integrating XRP into global payment corridors.
Crypto Eri said: “Crunchbase has updated Ripple investment OUTPUTS. The Bitstamp outflow was likely due to the Robinhood acquisition, but I was surprised to see Tranglo, where Ripple held a 40% stake in the cross-border payments company that used XRP (ODL). Further confirmation is recommended.”
The unexpected move has raised questions within the XRP community. @ADingoAteMyXRP pointed out a potential discrepancy: “Crunchbase exits happen when a company you’ve invested in goes public. But that page is incorrect: Tranglo is a private company.” Meanwhile, Wrathof Kahneman, another popular researcher within the XRP community, noted the lack of corroborating sources for this information, adding to the confusion. Kahneman remarked: “Strange. Crunchbase is the only place I can find that mentions this. I wonder if this is just a mistake?”
Digging deeper, Crypto Eri explained: “Seamless Group Inc. owns Tranglo. They have been trying to go public via a SPAC (Infint Corp) with many starts and stops since 2022. Infint updated their S-4 in April 2024 (Tranglo is mentioned 712 times and Ripple is mentioned 256 times). I can’t find where this transaction was finalized. I found out, on a separate but related fact, that Cowen, Polysign/Standard’s strategic partner, sold their 10% stake in Infint Corp. This whole thing needs a bit more digging.”
Further research by Kahneman revealed TNG Fintech, now known as Seamless Group, had partnered with Ripple in 2021 and later announced a merger with InFinT Acquisition Corporation to go public. While the initial filings appear to have expired, recent extensions indicate that the deal may still be in the works. This could explain the company’s decision to divest its stake.
“So did Ripple exit Tranglo’s investment? It looks like it. Here are the documents regarding the employee who worked at Tranglo and returned to Ripple,” Kahneman speculated. As for the implications for XRP, he added: “What does this mean for[…]XRP? Not much. Tranglo is still a star user of Ripple Payments. Hopefully, the cash injection will allow the company to grow and, by extension, Using XRP.”
Reactions from members of the XRP community have been mixed. Reflecting some of the community, @HadleyHopelv426 sees the news as “another failure by Brad (Garlinghouse) and his gang.” Others like Kahneman see the potential financial gain for the cryptocurrency company that could, in turn, drive the growth and use of XRP.
At press time, XRP was trading at $0.54576.
Featured image from Shutterstock, chart from TradingView.com
