VivoPower commits $100 million to XRP via Flare, signaling rising institutional DeFi interest.
- VivoPower invests $100 million in XRP via Flare blockchain.
- Partnership involves cryptocurrency firm BitGo.
- Institutional interest boosts XRP value and Flare utility.
VivoPower International PLC has invested $100 million in XRP, leveraging the Flare blockchain for decentralized finance (DeFi) activities, led by former Ripple board member Adam Traidman.
The allocation exemplifies growing institutional interest in altcoin treasuries, mirroring trends seen with Bitcoin, prompting XRP to rise above $2.25 following the announcement.
$100M XRP Investment Marks Institutional Shift
VivoPower International, listed on Nasdaq, has shifted focus to digital assets with a $100 million commitment to XRP. Adam Traidman, ex-Ripple, joins as advisor, spearheading this strategic pivot. The initiative utilizes BitGo for infrastructure support.
VivoPower’s allocation to Flare, a DeFi-oriented blockchain, positions XRP as a significant institutional asset. The $121 million raised underpins this treasury movement, with a focus on reduced debt and optimized capital.
“The public company is developing a decentralized finance strategy focused on XRP. The release outlines a plan to buy and hold the altcoin, build a treasury, and a DeFi team to reduce debt and working capital.” – Adam Traidman, Chairman of VivoPower’s Board of Advisors, VivoPower International PLC
XRP Value Soars with Institutional Backing
The decision highlights a potential shift toward XRP as a favored corporate reserve. XRP’s value soared, underscoring its rising utility in institutional DeFi environments after VivoPower’s announcement.
Backing from Saudi investors and firms underscores broader institutional support. The involvement of BitGo ensures secure infrastructure, with investor optimism impacting XRP’s market behavior positively.
Altcoin Strategy Echoes MicroStrategy’s Bitcoin Play
The move parallels MicroStrategy’s Bitcoin treasury strategy, suggesting a trend toward altcoin adoption. Such shifts have historically contributed to price stabilization and institutional acceptance within the crypto market.
Anticipated outcomes may include increased Flare blockchain engagement. As more firms enter XRP treasuries, market dynamics could witness similarities to earlier Bitcoin strategies, creating new liquidity inflows and crypto adoption patterns.
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