Ripple is accelerating its push into Korea by entering the cryptocurrency custody business. As the issuer of XRP and a major player in the global digital asset market, Ripple is now seeking to expand its footprint in Korea by targeting institutional and corporate clients in the custody segment.
Since foreign entities without a Virtual Asset Service Provider (VASP) license cannot directly operate custody services in Korea, Ripple is pursuing a partnership-driven model. In this context, domestic custodian BDACS recently launched an institutional XRP custody service through collaboration with Ripple. The service leverages Ripple’s enterprise-grade custody technology and is compatible with major Korean exchanges such as Upbit, Coinone, and Korbit.
Ripple has also appointed a dedicated head of custody for the Korean market, signaling its commitment to advancing local operations. These developments align with potential policy adjustments by Korean financial regulators, who are expected to open the door for corporate and institutional digital asset services, including custody.
Custody services reduce risks associated with private key management and mitigate potential losses or security breaches, making them essential infrastructure for institutional investors. Demand in this sector has been steadily growing.
Looking ahead, Ripple’s success will depend on securing regulatory clarity, establishing licensing and partnership structures, and addressing critical elements such as fee models, security, insurance, and liability. How Ripple balances these factors—while aligning with Korea’s regulatory trajectory and strengthening partnerships with local financial infrastructure players—will likely determine its long-term position in the Korean market.
