Ripple Invests $25M USD In XRP In Blockchain Capital’s Parallel Fund IV

Announcements, Blockchain, Investing | April 12, 2018 By:

Blockchain solutions provider Ripple has invested $25 million of its own cryptocurrency, XRP, in Blockchain Capital‘s Parallel IV venture fund.

Founded in 2013, Blockchain Capital is one of the earliest and most active investors in the blockchain industry and the crypto ecosystem. It has invested in 72 companies, protocols, and tokens, including Coinbase, Ripple, Circle, Ethereum, 0x and Kraken.

Last month, Blockchain Capital announced that it had raised $150 million dollars in its fourth funding round. At the time, the firm said the proceeds came in the form of $125 million to its IV LP fund, and $25 million worth of cryptocurrency for its Parallel Fund IV, but it did not identify the cryptocurrency.

Parallel Fund IV is the first fund to accept capital calls in digital assets. 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.

The XRP Ledger is an advanced blockchain-like system which allows users to make transactions in different currencies globally, while the Interledger Protocol is an open protocol for payments across payment networks. Blockchain Capital is looking to employ the XRP in the fields of healthcare or identity management and believes they can benefit from distributed ledger technology.

Bart Stephens, co-founder and managing partner of Blockchain Capital, said that as pioneers in the blockchain sector, they have been on the frontlines and in the trenches with their portfolio companies, like Ripple, building a new crypto ecosystem.

“There are entire verticals – like healthcare or identity management – that could benefit from blockchain or distributed ledger technology,” said Stephens. “Whether it’s using XRP, bitcoin or just the underlying blockchain technology, our goal is to find the best projects and give them the resources to be successful companies that deliver value to customers for the long-term.”

Patrick Griffin, SVP of Strategic Growth at Ripple, said the company will continue contributing to other venture capital funds to support and fuel startups and businesses developing blockchain applications.

“Blockchain Capital is the premiere fund for any project looking to get off the ground in the blockchain space. They have a proven track record for finding and funding the projects that matter,” said Griffin. “This is the first fund that we’ve contributed to, and it won’t be the last. We plan to be major players in shaping the future generation of blockchain or crypto companies.”

Last month, Ripple partnered with Banking group Santander to release an international money transfer app using Ripple’s blockchain xCurrent and RippleNet platforms.