As Ripple announces a $750 million share buyback, investors are watching XRP price moves. [Photo: Reve AI]

[DigitalToday reporter Yoonseo Lee (이윤서)] Ripple is pursuing a $750 million share buyback, lifting its valuation to $50 billion. With the crypto market in a slump, it is unclear whether the decision has brought a decisive change to the XRP ecosystem.

The Crypto Basic, a blockchain outlet, reported on March 12 that veteran investor Pompious described the buyback as the "ultimate power move" and said it would be a positive signal for XRP investors. "A company spending millions of dollars to buy back its own shares is a powerful message of confidence in the XRP ecosystem," he said.

Ripple's decision raised its valuation by 25 percent from about $40 billion in November last year. At the time, major financial firms including Pantera Capital, Brevan Howard, Galaxy Digital and Marshall Wace took part in a $500 million fundraising. XRP is down more than 60 percent from its peak in October last year.

Earlier this month, Ripple unlocked 1 billion XRP from escrow and then moved 200 million XRP, worth about $280 million. It appears to be an internal transaction, but some are concerned about the possibility of additional selling. The impact of Ripple's corporate expansion on the XRP price remains uncertain.

Ripple has recently expanded its digital asset infrastructure for institutional investors and has acquired prime brokerage platform Hidden Road and treasury management company GTreasury. Some critics say Ripple's higher valuation will not translate into direct gains for XRP holders. They argue that selling XRP to fund the buyback and expansion is a structure that benefits only institutional investors.

Ripple's share buyback is seen as a meaningful step in raising corporate value and securing institutional trust. Still, it remains unclear whether such moves will translate directly into a higher XRP price or greater value for holders. The key question is how closely Ripple's expansion strategy links with the XRP ecosystem.

RIPPLE IS BUYING BACK SHARES AT A JAW-DROPPING $50 BILLION VALUATION! THIS IS THE ULTIMATE POWER MOVE FOR XRP HOLDERS! Ripple is shelling out $750 million in cash to repurchase private shares, locking in a monster $50 billion company valuation. This screams one… pic.twitter.com/tbTuo5I8OP

Keyword

#Ripple #XRP #The Crypto Basic #Hidden Road #GTreasury
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