Hidden Road Company

Hidden Road Company: An Overview

1. Company Overview

Founding Date and Background

Hidden Road was founded in 2019 as a global credit network specifically designed for institutions. The company aims to streamline access to both traditional and digital markets, focusing on prime brokerage, clearing, and financing services.

Parent Company/Ownership Structure

In April 2025, Hidden Road announced its acquisition by Ripple Labs, a prominent player in the digital asset infrastructure space, for $1.25 billion. This acquisition positions Hidden Road to leverage Ripple's financial resources and technological capabilities to expand its service offerings significantly.

Headquarters Location

Hidden Road is headquartered in New York City, New York, which serves as a central hub for its operations and client interactions.

Global Business Scope

The company operates on a global scale, providing services to institutional clients across various jurisdictions, including the United States and Europe. Following its recent acquisition, Hidden Road aims to enhance its footprint in the digital asset market while maintaining robust offerings in traditional finance.

Main Regulatory Bodies

Hidden Road is regulated by several authoritative bodies, including:

• The Financial Industry Regulatory Authority (FINRA) in the United States
• The Dutch Authority for the Financial Markets (AFM)
• The Financial Conduct Authority (FCA) in the United Kingdom

These regulatory affiliations ensure that Hidden Road adheres to stringent operational standards and compliance requirements.

2. Company History and Development

Key Milestones

• 2019: Hidden Road was established, focusing on providing financial services tailored for institutional clients.
• 2023: The company received an investment firm license from the AFM, enabling it to offer spot and derivative products to institutional counterparties within the European Economic Area.
• April 2025: Hidden Road secured approval from FINRA to operate as a broker-dealer, marking a significant milestone in its growth trajectory.
• May 2025: The company launched its digital asset swaps prime brokerage capabilities for the U.S. market, responding to growing demand for digital asset trading solutions.

Business Expansion Journey

Hidden Road has consistently expanded its service offerings to meet the evolving needs of its clients. The acquisition by Ripple is expected to facilitate further growth, enabling the company to enhance its capacity to service a broader range of institutional clients.

Customer Base Growth

The company has successfully attracted a diverse clientele, including hedge funds, banks, and other institutional investors. Its focus on providing conflict-free services has resonated well within the market, leading to a steady increase in its customer base.

Platform Development History

Hidden Road has invested significantly in developing a technology-driven platform that simplifies prime brokerage, clearing, and financing services. The companys modern technology stack is designed to remove complexity and reduce costs for its clients.

Important Awards or Recognitions Received

While specific awards were not detailed in the available information, Hidden Road's rapid growth and regulatory achievements reflect its increasing prominence in the financial services industry.

3. Trading Services Offered

Forex Trading Options

Hidden Road provides a range of forex trading options, allowing clients to trade numerous currency pairs. The exact number of currency pairs offered is not specified, but the company aims to cater to institutional trading needs.

Stock Trading Options

The company offers stock trading services as part of its prime brokerage capabilities, enabling institutional clients to access equity markets efficiently.

CFD Trading Products

Hidden Road includes Contracts for Difference (CFDs) in its service offerings, allowing clients to speculate on price movements of various assets without owning the underlying asset.

Other Financial Instruments

Hidden Road's platform supports trading in various financial instruments, including:

• Cryptocurrencies: Following its acquisition by Ripple, the company is positioned to enhance its offerings in the digital asset space.
• Commodities: The company may also provide access to commodity trading, although specific details are not outlined.

Special Services or Unique Advantages

One of Hidden Road's unique advantages is its conflict-free structure, which eliminates potential conflicts of interest that may arise in traditional brokerage models. Additionally, the company emphasizes its technology-driven approach, which enhances execution speed and efficiency for institutional clients.

4. Regulatory and Legal Background

Detailed Regulatory Information

Hidden Road is overseen by multiple regulatory bodies, ensuring compliance with financial regulations across different jurisdictions:

• FINRA (U.S.): Regulates broker-dealers and ensures fair practices in the securities industry.
• AFM (Netherlands): Oversees financial markets and protects investors in the Netherlands.
• FCA (U.K.): Regulates financial firms and promotes competition in the financial services sector.

Legal Entity Structure by Region

• United States: Hidden Road Partners CIV US LLC operates as a FINRA-member broker-dealer.
• United Kingdom: Hidden Road Partners CIV UK Ltd. is regulated by the FCA.
• Netherlands: Hidden Road Partners CIV NL B.V. holds an investment firm license from the AFM.

Client Fund Protection Measures

Hidden Road implements strict measures to protect client funds, including:

• Segregation of client funds from the company's operational funds.
• Maintenance of adequate capital reserves to ensure operational stability.

Countries/Regions Served

The company primarily serves institutional clients in the United States, the United Kingdom, and the European Economic Area, with plans to expand its services globally following its acquisition by Ripple.

Compliance History

Hidden Road has maintained a strong compliance record, adhering to the regulations set forth by its governing bodies. The recent acquisition and licensing milestones further demonstrate its commitment to regulatory compliance.

5. Competitive Landscape

Main Competitors

Hidden Road operates in a competitive landscape with several key players, including:

• Goldman Sachs: A leading global investment banking, securities, and investment management firm.
• Morgan Stanley: A multinational financial services corporation providing various investment banking and financial services.
• Citadel Securities: A market maker and trading firm that offers liquidity across financial markets.
• Interactive Brokers: A brokerage firm that provides trading and investment services to individual and institutional clients.

Positioning in the Industry

Hidden Road positions itself as a technology-driven prime brokerage firm focused on serving institutional clients. Its conflict-free structure and emphasis on regulatory compliance differentiate it from traditional brokerage firms.

Market Differentiation Factors

Hidden Road's unique selling propositions include:

• A conflict-free operational model that prioritizes client interests.
• A robust technology platform designed to streamline trading and reduce costs.
• A comprehensive suite of services catering to both traditional and digital asset markets.

Conclusion

Hidden Road is a rapidly growing company in the financial services sector, particularly in the realm of prime brokerage. With its recent acquisition by Ripple and regulatory approvals, it is well-positioned to expand its offerings and client base significantly. The company's commitment to compliance, innovative technology, and conflict-free services makes it a noteworthy player in the evolving landscape of financial services.

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