• Ripple Labs Inc. is leading an effort to raise at least $1 billion to accumulate XRP, according to a Bloomberg report.
• The money will be raised through a special purpose acquisition company, known as a SPAC.
• The planned new digital-asset treasury comes as crypto markets remain fragile, a week after a huge sell-off that forced record liquidations.

Ripple Labs Inc. is reportedly seeking to raise at least $1 billion through a special purpose acquisition company (SPAC) to expand its XRP holdings and strengthen its digital-asset treasury. The initiative comes at a time when broader crypto market sentiment remains cautious, following a recent wave of liquidations and heightened volatility.

Ripple Labs plans to raise $1 billion via a SPAC to accumulate XRP

Bloomberg reported on Friday that blockchain payment firm Ripple Labs Inc. is leading an effort to raise at least $1 billion to accumulate XRP, the digital token linked to the company.

The company plans to raise funds through a special purpose acquisition company (SPAC), which will house them in a new digital-asset treasury (DAT). Moreover, the Ripple will also contribute a share of its XRP to the treasury.

The planned DAT came as crypto markets remain fragile, having experienced a huge sell-off and forced liquidation last Friday.

Nonetheless, Ripple is moving ahead with its DAT fundraising plans — which, if successful, would be the biggest one to focus on XRP. 

Apart from this, Ripple announced on Thursday the acquisition of risk management software company GTreasury for $1 billion, as it plans to expand its payment solution to the corporate finance and cash management market. By integrating blockchain-based settlement into traditional treasury operations, Ripple aims to enable corporations to move funds instantly, cut transaction costs and enhance overall working capital efficiency.

These ongoing development projects project a bullish outlook for Ripple’s native token XRP in long term, as the firm’s capital-raising efforts signal strong long-term confidence in its ecosystem, which could boost wider adoption and increase liquidity.