Citadel Securities Turns Against DeFi While Pouring $500 Million into Ripple

Citadel Securities has adopted a dual strategy in crypto, publicly submitting a letter to the SEC opposing regulatory exemptions for decentralized finance (DeFi) platforms trading tokenized US equities due to concerns over investor protection, AML/KYC, and transparency. Simultaneously, Citadel co-led a $500 million strategic investment in Ripple, valuing the company at $40 billion, signaling strong institutional confidence in Ripple's regulated infrastructure. Ripple has aggressively expanded its institutional footprint through acquisitions like Hidden Road (rebranded as Ripple Prime) and has seen its RLUSD stablecoin surpass a $1 billion market cap. This contrast underscores a broader market trend where institutions favor blockchain projects operating within established regulatory frameworks over fully permissionless DeFi systems, suggesting regulatory clarity is now key for large-scale adoption.

(Source：BeInCrypto)