Why Companies Are Betting Their Fortunes on XRP Reserves (And Why That’s Hilarious)

by

Why Companies Are Betting Their Fortunes on XRP Reserves (And Why That’s Hilarious)

It appears that the latest craze among corporations is building massive digital piggy banks filled with XRP. Because nothing says “solid financial strategy” like relying on a crypto asset famous for doing the rollercoaster dance—up, down, up, and occasionally upside down faster than you can say “Regulatory Uncertainty.”

In the wild jungle of cryptocurrencies, the race is on—each altcoin trying to outshine its cousins in the quest for corporate goodness and global domination. The XRP community, with all the subtlety of a marching band, proudly claims their token is the superior choice for handling company reserves. But is it really? Or are they just chasing the digital dragon with a gleam in their eyes and a prayer in their hearts? This article unravels the madness.

More Companies Are Listing XRP as a Treasury Asset — Because Why Not?

Recently, Webus International, a company based somewhere in China (probably in a very large, very confusing maze), filed the legendary Form 6-K with the U.S. Securities and Exchange Commission (SEC). The filing calmly declared their intentions to stash away a cool $300 million in XRP—because nothing screams “financial security” like gambling on a volatile meme coin.

But Webus is not flying solo on this crypto cruise. VivoPower International has announced a $121 million XRP reserve. Meanwhile, Wellgistics decided to toss $50 million into the digital well. According to an insightful report from BeInCrypto, VivoPower is also planning to snatch up an additional $100 million worth of XRP via BitGo’s over-the-counter (OTC) desk—because who doesn’t like their investments served with a side of secrecy?

This company just filed for a $300 million dollar XRP reserve.

What’s going on here? Why are companies doing this?

Most people will see this and think it’s primarily about price speculation but that’s not really the key thing that is happening here — the real strategy here is…

— Austin King (@OnchainAustin) June 4, 2025

The digital stampede continues. Firms like Ault Capital Group, BC Bud Corporation, Worksport, and Remixpoint are all lining up to put their faith—or their money—into XRP. The message? Large companies across the globe increasingly see XRP as their financial secret sauce. Or perhaps just a very expensive toy.

Why Are Businesses Loving XRP for Their Strategic Reserves? (Hint: It’s Not Because They’re Good at Timing the Market)

Companies love Bitcoin for its “store of value” fantasy—like stuffing cash into a magic crystal that’s supposed to last forever. But why are some opting for the altcoin rollercoaster instead? Because apparently, volatility is the new black, and transparency is optional.

Each altcoin offers a shiny new thing. But XRP supporters believe their favorite has some undeniable perks—mainly, the ability to move money faster than you can say “regulatory nightmare.”

Austin King, the man who clearly has too much free time, suggests that smart companies want to get XRP embedded into their international payment systems. Because nothing screams “reliable” like a token that’s as predictable as a cat on a caffeine high. With its fast transaction speeds and tiny fees, XRP aims to be the superhero of cross-border payments—making global finance as transparent as a muddy pond.

“Most people will see this and think it’s primarily about price speculation, but that’s not really the key thing that is happening here — the real strategy here is to latch onto these rapidly growing crypto networks to share in their growth,” said Austin King.

And then there’s Pumpius, the analyst who’s clearly got a flair for drama. He claims this isn’t just about flipping coins, but about leveraging the entire XRP ecosystem—especially with the integration of RLUSD, Ripple’s stablecoin, into its payment solutions. Because what’s better than a stablecoin for stability? Not much, unless you’re a gambler with a penchant for chaos.

“XRP isn’t being treated as a crypto — but as an asset for settlement architecture. Webus isn’t betting on price. They’re betting on utility,” Pumpius declared, probably while doing a fist pump.

All these ideas are gaining steam, especially with predictions that the so-called GENIUS Act might pass someday soon—like a bad sitcom that never quite ends. If it does, RLUSD could see its market cap grow from a humble $369 million to something much more impressive, supporting efficient global transactions and—perhaps—saving the world from slow wire transfers. Every RLUSD transaction on the XRP Ledger needs XRP as a fee, slowly munching away at the supply—because nothing says “long-term investment” like a deflationary magic trick.

What Are the Perils of Relying on XRP as a Strategic Reserve? (Spoiler: It’s Not All Sunshine and Rainbows)

Of course, XRP is no angel. Its price has nosedived over 80% during the dark days of 2018 and 2021—hardly the stuff of a “great store of value.” Companies risking their corporate necks on XRP’s rollercoaster might want to hold on tight.

Investor fervor may be outpacing reality. The total value locked in XRPL is under $60 million, which is roughly equivalent to some folks’ pocket change. On-chain activity has plummeted, and the number of validator nodes remains as sparse as a desert oasis. Clearly, the network may not be quite ready for prime time.

Adding fuel to the fire, experts warn of the trendy “Crypto Vehicles” trend—companies stacking up crypto assets like Baroque art, trying to boost their stock prices and pretending that crypto’s a safe investment. Spoiler alert: if the crypto’s value tank, so do their stocks—and nobody really knows how this will end, but it’s likely not with everyone living happily ever after.

Read More

2025-06-05 19:47