Hyperscale Data, Inc. , a diversified holding company announced that its wholly owned subsidiary, Ault Capital Group, Inc. intends to purchase up to $10 million in XRP, the digital asset developed by Ripple Labs and native to the XRP Ledger, by the end of 2025. The XRP, when purchased, will be deemed a crypto asset and held on the Company’s balance sheet at fair value with changes recognized in operating expenses on the consolidated statements of operations. This strategic move is designed to support the Company’s broader expansion into financial services through ACG.
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“ACG plans to expand its financial services division and broaden the services it offers beyond lending, including cryptocurrency-based products on a decentralized exchange and tokenization of real-world assets. We’ve been successful in the lending business for the past four years, and now we are looking to expand. We expect XRP to be an important part of ACG’s future in the financial services industry,” said Milton “Todd” Ault III, Executive Chairman of Hyperscale Data.
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XRP is purpose-built for enterprise grade financial use cases, offering fast, secure and low-cost transaction fees using blockchain technology features that position it as an attractive asset for powering innovative financial services. ACG plans to leverage XRP and the XRP Ledger to support cross-border settlement, real-time payment systems, and decentralized financial applications, all designed to meet the needs of modern financial markets. The Company believes that acquiring XRP is a strategic enhancement of liquidity and provides infrastructure support for a range of blockchain-enabled financial products. It represents an important step towards integrating modern digital asset solutions into ACG’s next-generation financial services model.
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Hyperscale Data notes that acquisitions of XRP are subject to various risks and uncertainties, one or more which could result in the planned acquisitions being curtailed, delayed or terminated, including, but not limited to: the volatility in XRP market price; the inability of the Company to have sufficient capital to purchase the intended amount of XRP; and regulatory challenges, consents or approvals, if necessary. The Company will continue to monitor market conditions and may increase or decrease its holdings of XRP as it deems appropriate.
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Source: globenewswire
