XRP News Today: Ripple Buyback Program Proposed to Japanese Financial Giant SBI – Here Are More Details

In an open letter to CEO Yoshitaka Kitao, the Swiss investment firm suggested SBI start an XRP buyback program, similar to how MicroStrategy keeps stacking Bitcoin.

The letter pointed out that SBI is undervalued and argued that accumulating XRP could strengthen its position in the crypto space. The idea is simple—treat XRP like a long-term asset, just like MicroStrategy does with Bitcoin.

And while more institutional investors consider XRP, Bitcoin’s long-standing problems—lack of utility, and poor scalability—are more evident than ever.

Luckily, there’s a new hybrid layer 2 project called PlutoChain ($PLUTO), that might be able to handle these issues.

Let’s check out the details…

GAM Wants SBI to BuyBack XRP—Says It’s Seriously Undervalued

Swiss investment firm GAM Investments is pushing SBI Holdings to take a bold new approach with its XRP holdings. 

In an open letter to SBI CEO Yoshitaka Kitao, GAM argued that SBI is massively undervalued, mainly because the market has not fully priced in its stake in Ripple Labs and its large XRP holdings.

GAM pointed out that SBI’s indirect holdings in Ripple are worth over JPY 1.6 trillion, yet the company’s market cap sits at just JPY 1.2 trillion. This suggests a major disconnect between SBI’s actual value and its stock price, likely due to a lack of transparency in its crypto strategy.

To address this, GAM proposed a few key changes. The first is more transparency, suggesting SBI publish daily XRP valuations and provide regular NAV updates to shareholders. But the biggest recommendation is an XRP buyback program, where SBI would use cash flow from its banking and securities businesses to purchase XRP from the market.

GAM believes this move could boost the value of SBI’s XRP holdings while reducing XRP’s circulating supply, possibly driving up the token’s price over time. 

The strategy mirrors MicroStrategy’s Bitcoin accumulation, which has helped cement its position in the space.

SBI already owns 8-9% of Ripple Labs and has supported blockchain adoption in Japan for years, yet the market hasn’t fully recognized this. GAM believes an XRP buyback could change that, helping SBI unlock massive value for its shareholders and push its market cap closer to JPY 3.9 trillion, a figure GAM considers a more accurate reflection of the company’s true worth.

Whether SBI follows through remains to be seen, but if it does, this could be one of the biggest XRP-related moves in recent history.

PlutoChain Could Bring DeFi to Bitcoin with a Hybrid Layer-2 Solution

Bitcoin has always been seen as digital gold, but when it comes to real innovation, it often takes a backseat. PlutoChain ($PLUTO) wants to change that by introducing a hybrid Layer-2 solution that could finally bring smart contracts and decentralized applications (dApps) to Bitcoin.

With Ethereum Virtual Machine (EVM) compatibility, PlutoChain could give developers a way to move Ethereum-based projects over to Bitcoin’s network. If it works, this could combine Bitcoin’s security with Ethereum’s flexibility, opening the door for DeFi, NFTs, and AI-powered applications to run directly on Bitcoin.

Speed has always been one of Bitcoin’s biggest issues, but PlutoChain’s two-second block times could solve that. Faster and cheaper transactions would make Bitcoin more practical, especially for DeFi and cross-chain applications. 

Platforms security was checked with audits from SolidProof, QuillAudits, and Assure DeFi. 

Unlike traditional Bitcoin upgrades that rely on miners and developers, PlutoChain gives the community a say in its governance, allowing users to propose and vote on network changes. 

Tests have already shown PlutoChain handling over 43,200 transactions per day, proving it can scale. Right now, Bitcoin’s DeFi market barely exists, making up just 0.13% of its total market cap. 

PlutoChain could unlock a massive opportunity for developers, possibly turning Bitcoin into more than just a store of value.

Closing Words

If SBI moves forward with an XRP buyback, it could change how major financial institutions approach crypto investments. GAM believes SBI’s undervalued position and deep ties to Ripple make it the perfect candidate to follow MicroStrategy’s strategy with Bitcoin. 

Whether SBI acts on this remains uncertain, but a large-scale XRP accumulation could impact the token’s supply and price in a big way.

Meanwhile, Bitcoin is still struggling with slow transactions and limited utility. 

That’s where PlutoChain ($PLUTO) may come in to help. With faster block times, lower fees, and DeFi integration it could potentially fix Bitcoin’s years-long issues.

Disclaimer: This is a sponsored article and is for informational purposes only. It does not reflect the views of Crypto Daily, nor is it intended to be used as legal, tax, investment, or financial advice.