Ripple’s ongoing battle with the SEC doesn’t stop the blockchain payments company from forging a stronger position in the market.
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Blockchain payments company Ripple made it clear this week that it does not let its feud with the US Securities and Exchange Commission (SEC) get in the way of its business plans. On Wednesday, the company announced it was repurchasing all of the Series C shares it issued to private investors in December 2019 — although a court ruling in 2021 said it did not. need to do so.
This week’s Crypto Biz explores Ripple’s share buybacks and provides an overview of the week’s biggest funding stories. We also consider a new Valkyrie exchange-traded fund (ETF) proposal that seeks to provide exposure to the Bitcoin (BTC) mining arena. For a more complete discussion of this week’s business news, sign up for the Crypto Biz newsletter below.
Ripple reveals 200 million share buyback
More than two years after raising $200 million in a Series C funding round, Ripple announced this week that it has acquired all of the outstanding shares that were issued in the transaction. Ripple said the share buyback reflects the company’s “extremely strong position in the market” and “strong balance sheet”. The acquisition also gives the company a whopping $15 billion valuation — all while the company continues to battle a $1.38 billion lawsuit filed by the SEC. As previously reported by Cointelegraph, Ripple CEO Brad Garlinghouse expects the lawsuit to be resolved in 2022.
RippleNet is more than just cross-border payments – it brings cryptocurrency services, such as liquidity, to businesses. Today, the network has a volume run rate of >$10 billion. Huge bonuses for the team for continuously upgrading their game and building new abilities every year. 3/4
– Brad Garlinghouse (@bgarlinghouse) January 26, 2022
Valkyrie Submits Application for New Bitcoin Mining ETF
In the absence of an official spot Bitcoin ETF, investors may be looking for alternative ways to gain access to the leading digital asset. Cryptocurrency asset manager Valkyrie recently filed a Bitcoin Miners ETF with the SEC in an effort to provide diversified exposure for companies involved in Bitcoin mining. Valkyrie’s proposed fund will invest at least 80% of its net assets in companies that generate at least 50% of their revenue or profit from BTC mining.
Related: SEC Rejects Fidelity’s Wise Origin Bitcoin Trust ETF Application
FTX US worth $8 billion after massive funding round
It wouldn’t be a recap of Crypto Biz without documenting another major funding announcement from the blockchain world. Cryptocurrency exchange operator FTX US announced this week that it has closed a $400 million funding round, bringing its total valuation to $8 billion. The funding round is no different than the $420 million raised by FTX’s global exchange in October 2021. FTX US clearly has big expansion plans in the United States, the country that dominates Bitcoin trading volume. , according to Arcane Research.
FTX US is pleased to announce that we have completed our Series A pay raise!
Thank you to our partners, many of whom have invested in FTX from the start; arrive @ramnikarora to administer the round; and to @SBF_FTX for the reason we’re all here. https://t.co/5rza97DVUY
– Brett Harrison (@Brett_FTXUS) January 26, 2022
Related: Crypto Infrastructure Company Fireblocks Is Valued at $8 Billion After Raising $550 Million
BFF II invests $75 million in P2E and Web3 projects
Speaking of major funding news, Blockchain Founders Fund has launched a new venture portfolio that seeks to invest in projects at the intersection of crypto, Web3, and the metaverse. Blockchain Founders Fund II, also known as BFF II, has raised $75 million from various investors, including The Sandbox CEO Sebastien Borget. The venture capital fund has invested in 11 projects including a layer 2 derivatives exchange, a game for money, and even a DeFi protocol. In other words, smart money is still investing in key trends you might first hear about in 2021.