Ripple Labs is leading an effort to raise at least $1 billion to buy XRP for a new digital-asset treasury, a move company insiders say will expand its corporate-treasury ambitions and bolster XRP holdings.
Key Takeaways:
- Ripple is reported to be spearheading a fundraising drive of at least $1 billion via a special-purpose vehicle to accumulate XRP for a new digital-asset treasury (DAT).
- The move follows Ripple’s acquisition of corporate treasury software provider GTreasury in a $1 billion deal, signaling a push into corporate treasury services.
- Mixed reactions were seen in the market. XRP briefly dropped on the news before partially recovering; price action and technicals show the token remains under short-term pressure.
Ripple Labs is reportedly initiating a plan to raise at least $1 billion through a special-purpose vehicle (SPV) to acquire large volumes of XRP, according to sources cited by Bloomberg and Altcoin Buzz. The purchased tokens will be stored under a new structure known as a digital-asset treasury (DAT), designed to manage and deploy XRP for future corporate and institutional use. In Ripple’s official X (formerly Twitter) handle, they announced the treasury acquisition of GTreasury while providing its details on a post.
The move aligns with Ripple’s long-term goal to expand XRP’s role beyond payment settlement, positioning it as a strategic asset within institutional crypto portfolios. Negotiations are ongoing, and details of the fundraising, including investor participation and allocation timelines, have not yet been finalized.
GTreasury Acquisition Signals Strategic Shift
The buyback plan follows Ripple’s $1 billion acquisition of GTreasury, a U.S.-based provider of treasury management software. The deal gives Ripple access to an established corporate client base and technology infrastructure that could integrate stablecoins, tokenized deposits, and smart contracts into mainstream treasury operations.
Analysts view this as a pivotal step in Ripple’s transformation from a cross-border payments company to a digital-asset infrastructure provider. By pairing the DAT with GTreasury’s platform, Ripple aims to offer corporations end-to-end solutions for managing digital assets as part of their existing treasury strategies, which is an approach that could bridge traditional finance and DeFi systems.
XRP Price Shows Volatility Amid Buyback Announcement
The crypto market, particularly the XRP token have shown volatility afte Ripple announced its buyback. At the time of writing (9:45AM UTC), XRP is trading around $2.46, a 4.3% gain over the past 24 hours and a price that is near its intraday high of $2.48. Meanwhile, the token logged intraday lows near $2.36, showing sideways movement after the broader crypto market crash.
Ripple Executives Weigh In on $1 Billion XRP Buyback
Ripple's CEO Brad Garlinghouse and President Monica Long have publicly addressed the company's plan to raise at least $1 billion to acquire XRP for a new digital-asset treasury (DAT).
Garlinghouse highlighted that this acquisition positions Ripple to offer comprehensive treasury management solutions, including the management of stablecoins, tokenized deposits, and other digital assets.
Long further elaborated on the strategic importance of the DAT, noting that it would allow Ripple to manage its XRP holdings more effectively and support the growing demand for digital asset solutions in corporate finance. She emphasized that the initiative underscores Ripple's commitment to expanding its role in the digital economy and providing innovative solutions to its clients.
What’s Next?
Ripple’s $1 billion XRP buyback highlights the company’s long-term strategy to integrate XRP into corporate and institutional treasury operations. By pairing the DAT with its GTreasury acquisition, Ripple is blending traditional finance tools with blockchain-based solutions. While the market has shown cautious optimism, near-term price volatility is likely as investors monitor execution and liquidity.
Summary
Ripple is raising at least $1B via an SPV to buy XRP for a new digital-asset treasury, aligning with its $1B GTreasury acquisition. Market reaction has been volatile; executives outlined plans to integrate stablecoins, tokenized deposits, and broader treasury services using XRP.
