Fintech startup Ripple divulged an investment of $25 million United States dollars worth of its own currency XRP in Blockchain Capital - a venture firm that specializes in blockchain and crypto projects. Blockchain Capital is the first fund dedicated exclusively to the blockchain space and is also the first to accept capital calls in digital assets.
Described by Ripple as the "first fund to accept capital calls in digital assets", the parallel investment vehicle now joins the Blockchain Capital IV LP fund - raising $125 million on its own - in bringing the total to $150 million in the San Francisco-based venture capital firm's fourth fundraising round.
Johnson has compared the future of Blockchain technology to what was built off of the iPhone's software, which has become the base for some of the most successful startups in the world. Ripple's investment will allow them to develop inroads with entrepreneurs and companies focused on other use cases, including those that use the XRP Ledger and Interledger Protocol.
Blockchain Capital, a venture capital firm dedicated to blockchain technology, designated Ripple's investment to its own special objective vehicle called the Blockchain Capital Parallel IV, which accepts cryptocurrency investments only. There are sectors like identity management and healthcare which can largely benefit from Blockchain. They have a proven track record for finding and funding the projects that matter. At its peak last December, one Bitcoin was worth close to US$20,000.
European Commission raids Murdoch's Fox offices over cartel concerns
Rival media company Comcast launched a £22.1 billion takeover bid for Sky in February. It also holds the rights to broadcast golf, basketball and other sports.
Stephens said the fund will bankroll startups that use Ripple's own XRP cryptocurrency, bitcoin, or just the underlying technology as part of an effort to promote blockchain over the long-term. The company has announced partnerships with numerous major money transfer companies in the United States, including MoneyGram and Western Union.
And even more fascinating is that Ripple is not making this fund investment in USA dollars but in the XRP currency itself. Additionally, he also believes that Ripple is capable of improving legacy of banking systems and help streamline global money transfers.
Ripple has also partnered with payment service MoneyGram in an effort to speed payment transactions.