According to Ripple Prime Chief Executive Officer Mike Higgins, XRP's financial utility is entering a new phase as more institutions use XRP as collateral to access traditional markets. The company allows institutions to use XRP as collateral to obtain dollar credit lines without selling tokens, enabling them to trade Chicago Mercantile Exchange (CME) futures while avoiding tax issues. Ripple Prime accepts multiple collateral types, including U.S. Treasury bonds, Bitcoin, and XRP, and notes that XRP has the advantage of 24/7 liquidity. The company has also issued depositary receipts collateralized by XRP and is integrating with decentralized trading platforms such as Hyperliquid, connecting on-chain trading with prime brokerage infrastructure.

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