Expert On Why Ripple Is Buying $1 billion XRP and How It Will Be Used

Ripple’s latest financial strategy has generated renewed optimism within the XRP ￰1￱ company is reportedly leading an effort to raise at least $1 billion to build a digital asset treasury focused on accumulating ￰2￱ development, first reported by Bloomberg, involves a special-purpose acquisition company (SPAC) designed to purchase XRP from the open ￰3￱ Ripple already holds billions of tokens in escrow , the decision to raise external funds for additional purchases has been viewed by some as a deliberate signal of confidence in its native asset. It's great Ripple is buying XRP, but you may ask yourself why would they when they have over 30BN in escrow they can easily access 500M XRP each month?

Well, that is the exciting ￰4￱ is building confidence in XRP, and using the SPAC to put upward demand pressure on open… ￰0￱ — Vincent Van Code (@vincent_vancode) October 17, 2025 A Bullish Perspective on the Move Vincent Van Code (@vincent_vancode), a software engineer and well-known voice within the XRP community, provided insight into why the move is ￰5￱ acknowledged that some may question why Ripple would buy XRP when it already controls well over 30 billion tokens in ￰6￱ his view, the answer lies in strategy rather than ￰7￱ Code described the development as “the exciting part,” suggesting that Ripple’s approach is not about access to supply but about building market confidence in ￰8￱ explained that by using the SPAC to apply upward demand pressure on the open market, Ripple would effectively extract XRP for several purposes, including operational use, escrow management, or treasury ￰9￱ added that the company “may even use it to build up mega LPs on the XRPL,” referring to liquidity pools on the XRP Ledger that could strengthen market depth and ￰10￱ conclusion was clear: this development is a super bullish signal for ￰11￱ are on X, follow us to connect with us :- @TimesTabloid1 — TimesTabloid (@TimesTabloid1) June 15, 2025 Why This Matters for XRP Rather than simply expanding its reserves, Ripple is attempting to reinforce XRP’s market ￰12￱ purchasing XRP from the open market through a structured financial vehicle, the company introduces new demand that can tighten available ￰13￱ mechanism can help support price stability while demonstrating to institutions and investors that Ripple is committed to the long-term utility of ￰14￱ creation of a dedicated treasury also adds a layer of institutional maturity to Ripple’s ￰15￱ establishes a transparent and structured way to manage token holdings, potentially improving liquidity for Ripple’s payment and liquidity solutions.

Moreover, by separating the new treasury from its escrowed funds, Ripple positions itself to manage market activity more dynamically without altering its existing release schedule . Ripple’s plan strengthens institutional confidence in ￰16￱ signals long-term commitment, disciplined capital management, and a strong belief in the digital asset’s continued relevance for payments and tokenized liquidity across global ￰17￱ : This content is meant to inform and should not be considered financial ￰18￱ views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s ￰19￱ are advised to conduct thorough research before making any investment ￰20￱ action taken by the reader is strictly at their own ￰21￱ Tabloid is not responsible for any financial ￰22￱ us on X , Facebook , Telegram , and Google News