Ripple Labs Plans Major XRP Acquisition Amid Market Volatility
Ripple Labs is initiating a significant move to gather at least $1 billion in XRP through a new digital-asset treasury (DAT), as reported by Bloomberg. This initiative reflects the resilience of major players in the crypto market who continue to pursue robust financial strategies despite recent market upheavals.
Potential Surge in XRP Demand
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According to sources familiar with the matter, Ripple’s new financial vehicle will be funded by a special purpose acquisition company (SPAC), with Ripple itself contributing some of its XRP holdings. Although representatives for Ripple have yet to comment, Bloomberg notes that the specifics of the deal are still being negotiated.
This move by Ripple is particularly noteworthy given the current market conditions. The market has recently experienced significant sell-offs, leading to record liquidations and a cautious sentiment among investors. However, Ripple’s plan to establish a DAT is a bold step forward.
Scale and Structure of Ripple’s Initiative
Bloomberg highlights the scale of Ripple’s effort, describing it as “the largest initiative focused on XRP” if successful. The use of a SPAC to fund the DAT aligns with the trend seen in 2025, where publicly traded token accumulators emerged through reverse takeovers or SPAC listings. In that year, more than 300 entities were reported to hold Bitcoin according to BitcoinTreasuries.net.
Market Context and Implications
While Bitcoin-centric treasuries have dominated the landscape, XRP has not yet garnered the same level of interest from DAT investors. Ripple’s latest move seeks to change this by channeling dedicated capital towards acquiring XRP, which could significantly impact the token’s circulating supply and market liquidity.
The prospect of a $1 billion purchasing capacity naturally raises questions about the potential for increased demand. However, Bloomberg cautions that investor enthusiasm for token accumulators has waned. Recent declines in the stock prices of major crypto accumulators, like Michael Saylor’s Strategy Inc. and Japan’s Metaplanet Inc., underscore this skepticism. Ripple’s initiative is set against this backdrop of cautious investor sentiment.
Amidst the scarcity of XRP-focused investment vehicles compared to Bitcoin, Ripple’s initiative stands out. Earlier in May, VivoPower International, a sustainable energy firm, raised $121 million for a similar purpose. Coincidentally, Ripple recently announced a $1 billion acquisition of treasury management software provider GTreasury.
At the time of writing, XRP is trading at $2.33.
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