Ripple Labs has proposed a trademark protection proposal for “Ripple Custody” with the U.S. Patent and Trademark Office (USPTO), which illustrates its ongoing efforts to cement its position in the market. Based on the information supplied, the blockchain-based digital payment company is actively working on “downloadable software for custody of cryptocurrency.” Though no precise data exists, Ripple may launch a crypto wallet to support its native token or a bigger selection of digital assets. The trademark application is still in its infancy, and the registration process could take several months.
According to U.Today, the trademark filing has been acknowledged, but no USPTO examiner has been assigned to review it so far, which means the trademark is yet to be approved. The upcoming crypto custody product could impact XRP’s value. As anticipation grows regarding the impending resolution of the Ripple vs. SEC lawsuit and Franklin Templeton’s recent XRP ETF filing, market observers closely follow the XRP news today for notable price changes. As one of the top-performing digital assets in the fourth quarter of 2024, Ripple’s XRP inevitably attracts attention.
Ripple Formerly Launched A Custody Service In October 2024
Ripple launched a custody platform in October 2024 designed to provide secure storage, transfer, and settlement of tokenized financial assets for finance leaders and institutions. The San Francisco-based enterprise can create a long-lasting competitive advantage with the new offering. In cryptocurrency, custody services are essential since managing private keys, which facilitate secure communication and transactions, is hugely complex. Crypto custody entails transferring the private keys to a custodian, who safeguards them using enterprise data storage techniques.
Protecting digital assets can be done independently by an individual, with or without the help of others, or managed exclusively by a professional third-party service. Major financial institutions have established their presence in the space, making available secure storage solutions for organizations and individuals alike. Ripple bought Switzerland-based crypto custody firm Metaco for $250 million in 2023 to expand its product suite and get access to an attractive roster of clients even if it was fighting a lawsuit from the Securities and Exchange Commission.
Ripple’s Trademark Application Sketches Several Potential Uses For The Ripple Custody Brand
As per Justia Trademarks, which specializes in legal information retrieval, Ripple’s trademark filing for “Ripple Custody” spans numerous international classifications, including telecommunications (Class 038), financial affairs (Class 036), and software development (Class 042). The trademark processing wait time can be less or longer than the average. Several factors impact how long it takes to examine a filing, such as whether it has any meaning in the crypto industry. If there are no substantive issues, the examining attorney will approve the trademark for publication.
Ripple’s trademark application considers four use cases: downloadable software, custodial services, peer-to-peer network services, and Software as a Service. These services would provide an additional revenue stream to the blockchain-based digital payment company. The filing is currently marked as “New Application—Record Initialized Not Assigned To Examiner.” Until the application is approved and the mark is officially registered, Ripple doesn’t have the full legal rights and protections guaranteed by a registered trademark. However, common laws protect some areas.
The News Has Attracted Different Reactions From The XRP Community
XRP is the native cryptocurrency that operates within the XRP Ledger, a decentralized, open-source blockchain led by a community of businesses and developers seeking to create value. The XRP community comprises crypto enthusiasts, developers, and investors, to name a few. Ripple’s trademark application has sparked different reactions from stakeholders. While some believe the San Francisco-based enterprise is making significant efforts to delve into custody and payments to drive demand, others speculate that XRP could play a key role in the U.S. strategic crypto reserve.
We have no idea what will happen tomorrow, but we know that life is uncertain. XRP remains one of the largest cryptocurrencies by market cap, with hundreds of financial institutions now using its technology. XRP solves the significant challenges of traditional financial networks by using a one-of-a-kind consensus mechanism that depends on most validators to record and verify transactions. Ripple’s ongoing legal battle with the SEC is a key factor in XRP’s price performance. It’s reportedly nearing its conclusion.
The SEC Contemplates Classifying XRP As A Commodity
The SEC is allegedly exploring the possibility of reclassifying XRP as a commodity, which would open the door to fruitful collaborations, increasing the asset’s utility in cross-border payments. Journalist Charles Gasparino says the U.S. regulator charged with protecting investors discerns resemblances between XRP and Ethereum, the most popular digital asset after Bitcoin. Ethereum is a commodity due to its fungibility and active trading on global exchanges. As such, it’s regulated by the futures market directly under the watchful eye of the Commodity Futures Trading Commission (CFTC).
U.S. District Judge Analisa Torres ruled in 2023 that XRP isn’t inherently a security, notably when traded on secondary markets. Since they acquired XRP via programmatic sales through an exchange, buyers were unaware they were purchasing from Ripple. Ripple and the SEC are reportedly engaged in settlement talks. There has been speculation about whether political contributions have influenced litigation. At any rate, a resolution could come as early as May 2025; Ripple could face a reduced fine.
Concluding Remarks
The company behind XRP, a digital asset designed for fast, low-cost global payments, may want to expand into the crypto custody sector. Ripple filed a trademark application for “Ripple Custody,” which enables businesses to tokenize and manage various assets within a globally distributed network. The blockchain-based digital payment company seeks to meet the needs of institutional clients who require secure custody and trust services. The demand for custody solutions has increased following the approval of U.S.-based exchange-traded funds in 2024.
The trademark application can take several months to review and approve. The USPTO may reject the application if the mark can be easily mistaken for another already existing mark. Filings are rarely straightforward.
