Ripple also said Thursday it agreed to buy treasury management software provider GTreasury for $1 billion.
Ripple Labs, the company behind crypto infrastructure and global payment settlement service provider Ripple, is leading a $1 billion funding for a digital asset treasury (DAT) focused on accumulating XRP, the cryptocurrency linked to Ripple.
According to the report by Bloomberg, which cited people familiar with the matter, the money will be raised through a special purpose acquisition company (SPAC).
The report comes despite the recent crypto sell-off triggered by the US-China tariff wars, and a growing cautious approach towards digital asset treasuries. Ripple has chosen to move forward with its fundraising plans amid the market conditions.
The funds will be held in a new digital asset treasury, with Ripple contributing some of its own XRP, the report said. It was also accompanied by the news that Ripple agreed to buy treasury management software provider GTreasury for $1 billion.
The $1 billion raise will be the biggest one yet, focused on XRP, and one of the biggest in the digital asset treasury raises overall. The XRP-focused DAT follows similar principles to the ones employed by the publicly-listed Bitcoin-focused treasury, MicroStrategy, founded by Michael Saylor, and the Japan-based Metaplanet.
Both companies have seen their share prices fall sharply recently amid the crypto sell-off.
