- Ripple’s XRP dominance may redefine its role in crypto finance.
- Public companies are racing to build massive XRP treasury reserves.
- Bitwise CEO predicts Ripple’s identity shift within twelve months.
Ripple could be heading toward a significant transformation in its business model. Bitwise CEO Hunter Horsley recently indicated that the company might be known as an “XRP treasury company” within the next 12 Months.
While Ripple has long been recognized for its work in cross-border payments, its massive XRP holdings are now shifting public and institutional perception. According to the latest market report issued by the company, Ripple directly owns 4.56 billion XRP.
In addition, 37 billion XRP remain locked in escrow and are managed through on-ledger smart contracts.
These escrowed tokens are not created and controlled by Ripple; they are automatically released once every month. The company, combined with Ripple’s direct holdings, still controls approximately 42 percent of the entire XRP supply.
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Such a degree of control has triggered debates on whether Ripple can transform into a treasury-related organization.
In the past, Brad Garlinghouse, the CEO of Ripple, said that the company’s valuation of 11 billion dollars was outdated. He has mentioned the approximate value of Ripple holding XRP, which is estimated at around 100 billion dollars, as a better indicator of the company’s financial capability.
Public Companies Rush to Build XRP Treasuries
A new wave of corporate interest is reinforcing Ripple’s shift toward becoming an XRP treasury hub. Several public companies are now raising capital specifically to build XRP reserves.
Trident Digital Tech Holdings has announced a plan to raise $500 million in XRP, while Webus International has placed its own treasury at $300 million. Besides, VivoPower International and Wellgistics Health have obtained 121 million and 50 million XRP-based financing, respectively.
This is an increasing trend that shows that companies are starting to view XRP as a strategic financial asset. The scheduled release of escrowed XRP is also predictable, which is suitable for treasury planners.
Horsley argues that Ripple’s identity may be substantially altered if this trend persists. However, with the increasing number of companies seeking XRP as a means of storing capital, Ripple’s niche in the crypto industry is changing dramatically.
Conclusion
Ripple’s influence in the XRP ecosystem and rising corporate demand for XRP treasuries are setting the stage for a significant shift. With billions in holdings and expanding institutional interest, the company is now positioned to become a leading XRP treasury powerhouse.
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