Ripple Plans $1 Billion Fundraise for XRP Treasury
Ripple Labs is reportedly planning to raise at least $1 billion to fund an XRP accumulation strategy. This move involves setting up a digital-asset treasury.
The fundraise will likely be executed via a SPAC. A SPAC is a publicly traded shell company used to raise capital. Ripple will contribute some of its 4.74 billion XRP tokens. This strategy allows crypto firms to enter public markets faster and with fewer regulatory hurdles.
Ripple has not officially announced the plan. Details are still under discussion. if accomplished, the new entity could become the largest XRP-focused digital asset treasury.
Other companies, like Nasdaq-listed VivoPower, have also shown interest in building similar treasuries.However, XRP has not attracted as much attention from digital asset investors as Bitcoin or Ethereum.
Ripple recently acquired GTreasury,a treasury management platform. This acquisition could help Ripple manage a large XRP reserve. GTreasury’s tools include cash forecasting and risk oversight.
Despite the news, XRP’s price has not rallied. After hitting $2.46, the token has fallen and is now down 2.5% over the past 24 hours.
