Hidden Road, a prime broker that specializes in both cryptocurrency and traditional assets, is making significant strides in its expansion efforts following its recent agreement to be acquired by Ripple for $1.25 billion. The firm is set to open a new office in Abu Dhabi, as confirmed by two reliable sources familiar with the situation.
The Abu Dhabi office will be led by James Stickland, a partner at Hidden Road, who is recognized for his extensive experience in the finance and crypto sectors. Stickland’s leadership is expected to facilitate the firm’s integration into the UAE’s financial landscape.
Hidden Road has successfully received in-principle approval (IPA) from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM). This marks a pivotal achievement as the firm gears up to offer its prime brokerage and clearing services to institutional investors within the region.
Furthermore, there is speculation that a member of the Abu Dhabi royal family may join the board of Hidden Road’s local entity pending final regulatory approval, highlighting the firm’s high-profile entry into the UAE financial market.
The move comes amidst a broader trend of financial services firms expanding their reach into the Middle East. Notably, Circle, the company behind the USDC stablecoin, also recently received regulatory approval from Abu Dhabi, underscoring the region’s growing importance in the global financial ecosystem.
Prime brokers play a crucial role in financial markets, offering a range of services including trading, financing, and custody to large institutions. Hidden Road aims to position itself prominently within this space, especially following its acquisition by Ripple, which is expected to inject further capital to bolster its clearing, prime brokerage, and financing services.
James Stickland’s background includes notable roles as the former CEO of Elwood Technologies and Elwood Asset Management, a crypto-focused firm backed by billionaire hedge fund manager Alan Howard. His expertise is anticipated to enhance Hidden Road’s operational capabilities considerably.
This acquisition signifies one of the largest mergers and acquisitions in the digital asset sector, and Ripple is poised to leverage Hidden Road’s offerings to solidify its position as a leader in the industry.
Recently, Hidden Road also garnered attention by obtaining FINRA approval to operate as a U.S. broker-dealer, further enhancing its service portfolio in the fixed income prime brokerage space.
Read more: Hidden Road, Set to Be Acquired by Ripple, Wins U.S. Broker-Dealer License
