Ripple Labs Aims for $1 Billion XRP Purchase Amid Price Decline
- Ripple Labs plans to raise at least $1 billion for a major XRP purchase to establish a new digital asset treasury.
- The company will use a special purpose acquisition company (SPAC) for the fundraising and contribute its own XRP holdings.
- XRP is currently the fifth-largest cryptocurrency with a market capitalization of $138 billion.
- Ripple recently acquired GTreasury for $1 billion to enhance connections with corporate finance leaders seeking access to tokenized deposits and other digital assets.
- As of July, Ripple held approximately $11 billion worth of XRP tokens in its wallets, with an additional escrow lockup of another 35.9 billion coins.
Ripple’s strategic fundraising and acquisition efforts come amid a challenging period for XRP, which has seen a recent price decline of about 24%. The establishment of a new digital asset treasury aims to stabilize and potentially boost the value of XRP in the market.
