Webus and VivoPower Eye XRP Treasury Reserves, XRP Price Remains Stable
Webus International, a Nasdaq-listed company, has announced plans to raise $300 million through non-equity financing to establish an XRP treasury reserve. This follows a similar move by VivoPower, which recently secured $121 million to initiate its own XRP treasury strategy.
Despite these announcements, the price of XRP has remained relatively stable.
Webus to Establish Strategic XRP Reserve
Webus International, an AI-powered mobility solutions company, intends to use the $300 million to create an XRP reserve. The goal is to facilitate cross-border payments through its transportation system using XRP.
The company plans to secure the funds through a mix of non-equity vehicles, including available cash reserves, bank loans, shareholder guarantees, and credit facilities backed by third-party corporations from traditional banks. Webus also plans to develop a blockchain infrastructure, including wallets, Web3 tokens, and on-chain reserve ledgers.
According to Nan Zheng, CEO of Webus, the implementation of XRP could eliminate traditional payment friction, enabling instant settlements with drivers and service providers worldwide, while providing immediate refunds when necessary.
The company clarified that the financial plan is non-binding and contingent upon the finalization of definitive documentation and the satisfaction of specific conditions.
VivoPower, also listed on Nasdaq, announced its $121 million raise to adopt XRP as a treasury reserve asset just a day prior. This trend reflects a growing interest among institutions in employing cryptocurrencies as reserve assets in their treasuries.
The move to launch an XRP reserve indicates a growing recognition of XRP among institutions seeking exposure to digital assets beyond Bitcoin.
XRP has experienced notable successes recently, including a listing of XRP futures on the CME and the launch of the first XRP futures exchange-traded fund (ETF) by Volatility Shares.
Several ETF issuers in the U.S. are awaiting a decision from the Securities and Exchange Commission (SEC) regarding various spot XRP ETF filings.
Following the announcement, XRP experienced a slight decrease of 0.5%, extending its weekly losses to over 6%.
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