XRP News Today: Ripple May Become XRP Treasury Entity Amid Institutional Interest

Hunter Horsley, the Chief Executive Officer of Bitwise Asset Management, has sparked a debate within the digital asset community by suggesting that Ripple could transform into an XRP-centric treasury entity within the next year. In a recent post on X, Horsley pondered whether Ripple might soon be described not just as a blockchain company, but as an XRP treasury institution. This speculation comes at a time when there is growing institutional interest in XRP for treasury purposes, with firms such as Trident Digital and Webus reportedly raising close to $1 billion in XRP-linked treasury products. These developments indicate that XRP is maturing into a strategic reserve asset for certain institutions, expanding its role beyond cross-border payments.

Horsley’s observation reflects an evolving narrative about Ripple’s future. Historically focused on building global payments infrastructure, Ripple may be poised to transition into an entity that leverages its XRP reserves more directly. This potential shift could see Ripple adopting a model similar to MicroStrategy’s with Bitcoin, where the company holds a significant amount of the asset as a strategic reserve.

Ripple currently controls approximately 40.92 billion XRP, which represents around 41% of the total circulating supply. Much of this amount is locked in escrow, with scheduled releases meant to manage liquidity and market impact. Despite the escrow mechanism, some industry voices suggest that Ripple’s sizable XRP holdings function similarly to a reserve strategy. Supporters believe this reserve could be used to support institutional partnerships or broader financial initiatives. For instance, some XRP community members, such as Edoardo Farina, have speculated that Ripple’s escrowed XRP may be earmarked for collaboration with global institutions. However, no official confirmation supports this theory.

On the other hand, skeptics such as entrepreneur Gary Cardone argue that if Ripple genuinely views XRP as a high-value long-term asset, it should formally adopt a treasury-based approach and publicly acknowledge its strategic intent. This line of thinking questions whether Ripple’s current structure reflects its actual vision for XRP’s future role. The debate has not gone unnoticed within the broader XRP community. One user, Ojo Oluwani, noted that Ripple assuming the role of an XRP treasury entity would represent a major shift, particularly after years of emphasizing the legal and operational separation between Ripple and XRP. Oluwani further argued that, based on the company’s large holdings alone, Ripple already functions like a treasury institution in practice, even if not in name.

However, some commentators pointed out an apparent contradiction in public opinion; critics often blame Ripple for maintaining a disproportionately large share of XRP, while also suggesting it should double down and formalize this model as part of a strategic balance sheet. As the utility and market perception of XRP continue to grow, questions surrounding Ripple’s future direction remain open. With major institutional initiatives underway and its substantial XRP reserves under scrutiny, Ripple may face increased pressure to clarify its position. The evolving narrative around Ripple’s future identity highlights the complex interplay between the company’s strategic goals and the broader digital asset ecosystem. As the debate continues, it remains to be seen how Ripple will navigate these challenges and opportunities in the coming year.