Ripple is extending its institutional custody infrastructure to Africa through a new partnership with Absa Bank, one of South Africa's largest financial institutions. The deal makes Absa Ripple's first major custody client on the continent, reflecting growing institutional interest in tokenized assets across emerging markets.
Absa will use Ripple's digital asset custody technology to store and manage cryptocurrencies and tokenized assets for its clients. The integration will allow the bank to offer secure, compliant custody infrastructure at a time when regulatory clarity around digital assets in Africa is improving.
The bank manages 2.07 trillion South African rands, equivalent to $119.5 billion of assets, as of the end of 2024. Absa also generated $6.34 billion of revenue last year, making it a major player on the African financial stage and a significant addition to Ripple's custody network.
The move follows a broader strategy by Ripple to position itself as a back-end provider of blockchain-based infrastructure for regulated institutions. Its custody offering, launched earlier this year, is already live with clients in Europe, Asia and Latin America, establishing a global footprint for the service.
Reece Merrick, Ripple's managing director for the Middle East and Africa, said the partnership underscores the company's commitment to unlocking the potential of digital assets on the continent. The partnership expands Ripple's presence in Africa following earlier collaborations with Chipper Cash to support crypto-enabled cross-border payments, which launched in late March.
Last month, Ripple introduced its RLUSD stablecoin to Africa, leveraging partnerships with Chipper Cash, crypto exchange VALR, and crypto payment service Yellow Card. Jack McDonald, Ripple's senior vice president of stablecoins, confirmed that RLUSD distribution in Africa had begun through local partners.
According to Ripple's 2025 New Value Report, 64% of finance leaders in the Middle East and Africa see faster settlement and reduced transaction costs as the main reasons to integrate blockchain-based currencies into payment flows. This data suggests strong potential for adoption across the region.
Ripple holds more than 60 regulatory licenses and registrations globally, giving it a compliance edge in jurisdictions where banks remain cautious about digital asset exposure. The Absa deal, once live, will make South Africa one of the few African markets with a major bank‑backed crypto custody offering.
The custody service was launched about a year ago, explicitly aiming to serve on the back‑end of banks and financial technology firms. Ripple's expansion followed its acquisition of digital asset custodian Standard Custody last summer, providing the technical foundation for the current offering.