PALO ALTO – C1 Fund Inc. (NYSE:CFND), a $55.89 million market cap investment company trading at $8.1 per share, has purchased shares in Ripple, a provider of enterprise blockchain technology focused on cross-border payments, according to a press release statement issued by the fund.
The closed-end investment company, which specializes in late-stage digital assets and blockchain infrastructure, did not disclose the size of the investment or financial terms of the transaction. The fund’s shares have declined 12.9% year-to-date, according to InvestingPro data.
Ripple’s platform utilizes stablecoins such as RippleUSD (RLUSD) and the XRP Ledger for settlement and exchange of crypto and traditional financial assets.
“Ripple’s technology and international reach fit directly with our strategy to support core infrastructure and institutional progress in blockchain finance,” said Elliot Han, Chief Investment Officer of C1 Fund Inc.
The equity purchase aligns with C1 Fund’s investment approach of targeting companies involved in digital asset adoption. The fund typically maintains a portfolio of approximately 30 companies in the digital assets services and technology sector.
C1 Fund, based in Palo Alto, California, operates as a Maryland corporation with C1 Advisors LLC serving as its investment adviser. Under normal market conditions, the fund invests at least 80% of its total assets in equity and equity-linked securities of companies engaged in the digital assets sector, excluding businesses principally administered in China, Hong Kong and Macao.
The fund’s investment objective focuses on maximizing portfolio returns primarily through capital gains on equity and equity-related investments. InvestingPro analysis reveals several challenges for the fund, including weak gross profit margins and poor free cash flow yield. InvestingPro subscribers have access to over 10 additional key insights and detailed financial metrics to better evaluate investment opportunities in the digital assets sector.
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