XRP surges after presidential election, companies adopting XRP treasury strategy similar to Bitcoin.

From Nasdaq
June 17, 2025 07:15 AM:

After the 2024 presidential election, XRP (CRYPTO: XRP) surged by nearly 600% to reach a 52-week high of $3.39 in January. Companies in various industries are now adding XRP to their balance sheets as part of a new treasury strategy involving significant investments in XRP.

Several companies worldwide are raising millions to buy XRP following a similar strategy to MicroStrategy (NASDAQ: MSTR) with Bitcoin. Strategy’s success with Bitcoin has inspired companies to adopt this approach with XRP, despite the lower cost per XRP compared to Bitcoin.

While the Bitcoin treasury model has shown impressive returns, the cost barrier is high. In contrast, XRP’s lower price point has attracted significant investment, with companies like VivoPower International (NASDAQ: VVPR) raising over $100 million for their XRP strategy.

Investing in XRP treasury companies comes with risks, such as potential value collapse if XRP prices drop. Despite the influx of funds into XRP through these companies, the impact on XRP’s overall market cap may not be significant due to the lack of spot XRP ETFs.

The XRP treasury strategy could gain momentum as investors seek exposure to XRP through proxy stocks, similar to the trend seen with Bitcoin before the launch of spot Bitcoin ETFs. However, the speculative nature of these companies warrants caution when considering investment in XRP.

The Motley Fool’s Stock Advisor team has identified the 10 best stocks for investors, excluding XRP. Historically, their recommendations have outperformed the market significantly, offering potential for substantial returns over time. Consider exploring these stocks for investment opportunities beyond XRP.

Author Dominic Basulto holds positions in Bitcoin and XRP, and The Motley Fool recommends these cryptocurrencies. While the XRP treasury strategy presents investment possibilities, thorough research and caution are advised due to the speculative nature of the market.

Read more at Barchart: XRP Investors Have a New Strategy, and It’s Straight From the Playbook of Bitcoin Legend Michael Saylor