VivoPower, a Nasdaq-listed energy company that recently launched an XRP-centric treasury, will expand its mining fleet to acquire XRP at a 65% discount.
Summary
- Caret Digital, VivoPower’s mining unit, is adding proof-of-work rigs and converting mined tokens into XRP, effectively securing the asset at a 65% discount.
- The company combines token swaps from mining with strategic Ripple Labs share purchases, aiming to maximize XRP exposure at the lowest average cost.
VivoPower, a Nasdaq-listed XRP-centric treasury company, has announced that its digital asset mining unit, Caret Digital, has obtained bulk discounts on additional mining rigs and will expand its proof-of-work mining operations.
VivoPower plans to convert mined tokens into XRP as part of its dual approach to treasury management. The strategy is designed to maximize XRP exposure at the lowest possible average cost, combining token swaps from mining operations with strategic purchases of Ripple Labs shares.
By converting mined tokens into XRP rather than purchasing directly at market rates, VivoPower said it can secure the digital asset at an effective 65% discount.
VivoPower’s pivot to XRP
The company’s focus on XRP as a core treasury asset has been underway since earlier this year. VivoPower introduced its XRP-centric treasury strategy in late May, initially backed by a $121 million private placement led by Prince Abdulaziz bin Turki bin Talal Al Saud. As part of this strategy, the company aims to increase its XRP exposure through a combination of digital asset mining and strategic acquisitions, including OTC trades, with BitGo as its designated trading partner, and equity purchases of Ripple Labs.
In addition to acquiring XRP directly, VivoPower has partnered with Flare, a Layer 1 blockchain supported by Ripple Labs, to generate yield on its XRP holdings. The yield program allows the company to earn returns on deployed XRP, which are systematically reinvested into the treasury, enhancing overall portfolio efficiency.