VivoPower Targets $300M Ripple Labs Shares Through South Korean XRP Venture

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VivoPower Targets $300M Ripple Labs Shares Through South Korean XRP Venture

VivoPower International PLC has partnered with Lean Ventures to launch a $300 million investment vehicle targeting Ripple Labs shares, leveraging South Koreas robust crypto market. This capital-light strategy allows VivoPower to gain exposure to Ripple and XRP without using its own funds, projecting $75 million in returns over three years through fees.

• VivoPowers digital asset unit, Vivo Federation, collaborates with licensed South Korean manager Lean Ventures to tap institutional demand for Ripple-linked assets.
• The partnership connects Seoul‘s crypto ecosystem with Ripple Labs’ private equity, offering investors direct access in a market holding the worlds largest XRP reserves.
• Following the announcement, VivoPower‘s stock rose 13% to $2.88, reflecting strong market approval amid South Korea’s regulatory shifts favoring digital assets.

What is the VivoPower Ripple Labs Investment Partnership？

VivoPower Ripple Labs investment partnership involves VivoPower International PLCs digital asset arm, Vivo Federation, teaming up with Lean Ventures, a licensed South Korean asset manager, to create a dedicated fund. This vehicle aims to acquire $300 million in Ripple Labs shares, capitalizing on high demand from South Korean retail and institutional investors. The structure enables VivoPower to earn management fees and performance incentives without deploying its own capital.

How Does South Koreas Regulatory Change Impact This Deal？

South Korea‘s recent policy reversal, effective September 16, 2024, allows crypto firms to qualify as venture companies under the revised Venture Business Act. Previously banned since 2018 alongside activities like gambling, digital asset businesses now gain access to tax incentives, financing, and state support. The Ministry of SMEs and Startups highlighted this shift to foster innovation in blockchain technologies such as smart contracts, positioning South Korea competitively against global leaders like the United States. This environment accelerates deals like VivoPower’s, where Lean Ventures will manage the fund, potentially integrating synergies with VivoPowers 20% stake pursuit in firms like K-Weather. Experts note that South Korea holds the largest XRP holdings globally by value and volume, making it a prime hub for such investments. According to blockchain analytics from sources like Messari, the countrys exchanges, including Upbit and Bithumb, dominate trading volumes, with over 10 million users actively participating in crypto markets.