In this case, the shell would become a treasury vehicle that steadily purchases XRP, effectively creating a permanent buyer for the token.
Meanwhile, Ripple would reportedly contribute part of its 4.7 billion liquid XRP holdings (valued near $11 billion), giving the project immediate liquidity and signaling corporate confidence in its ecosystem.
Ripple and XRP are related but distinct entities that are often confused with each other.
Ripple is a private crypto company that develops global payment solutions that rely on digital assets like XRP and Ripple USD (RLUSD) for their processes.
Notably, the firm is also the largest holder of the XRP token, controlling roughly 42% of the 100 billion total supply.
Ripple has 35 billion XRP tokens locked in escrow and releases one billion monthly under an on-ledger schedule. About 60% of those monthly releases are typically re-locked, creating a self-imposed cap that stabilizes issuance and maintains market trust.
Meanwhile, a DAT would flip the script from supply restraint to demand creation.
Instead of moderating outflows, Ripple would indirectly engineer inflows as institutional capital flows into an entity mandated to buy XRP. This would be a structural shift from emission control to market absorption.
Additionally, VivoPower International and Wellgistics followed with smaller allocations of $121 million and $50 million, respectively.
However, their stock performance has been sobering.
Since their announcements, these companies have seen their shares fall by as much as 70%, highlighting how digital-asset treasuries can magnify hype and risk.
Nonetheless, Ripple’s proposed DAT would eclipse them all.
At current prices around $2.30, a $1 billion reserve equals about 435 million XRP, or roughly 0.75% of the 60 billion in circulation, according to CoinGecko data.
An XRP treasury’s steady bid will help to fortify price floors and institutional confidence in the digital asset.
At that level, Ripple’s proposed $1 billion digital-asset treasury, if deployed evenly over 90 days at roughly $11 million in daily purchases, would represent more than 20% of all visible near-price liquidity on any given day.
Moreover, it would also equate to roughly twenty times the total depth within that immediate trading band. Such concentration suggests the market could react far more sharply to a sustained buying activity from the DAT firm.
Based on CryptoSlate’s analysis of current exchange depth and historical price elasticity, even moderate execution could meaningfully shift short-term valuations.
While such accumulation would almost certainly involve OTC and algorithmic execution to reduce visible slippage, the concentration of liquidity implies that even careful deployment could trigger a temporary 8–15% price lift before markets adjust.
However, these gains would likely fade if the treasury paused purchases or secondary holders sold into strength.
