With the current move of ever-growing cryptocurrency it seems that it is backing for the next Uber in the near future.
Ripple looks to back the next Uber by investing $25 million into a blockchain-focused fund, report said.
Blockchain start-up Ripple is putting $25 million worth of its cryptocurrency into Blockchain Capital, a venture capital firm dedicated to blockchain technology.
Ripple, which has partnered with banks and other financial firms, says it’s looking for next Uber, Salesforce, or Instagram to be built on its platform.
“We want smart people, and smart entrepreneurs, who can solve a problem using XRP,” says Cory Johnson, chief market strategist at Ripple.
Blockchain start-up Ripple, whose digital currency has seen huge volatility this year, is investing in a blockchain-focused fund to encourage the next great technology app built using its software.
As of now, Ripple, which owns about 60 billion of the 100 billion ripple, or XRP, tokens ever created, said Wednesday that it would invest $25 million of that digital currency into the fund for early-stage investments.
The company’s aim is to bankroll “clever” entrepreneurs who can find additional uses for Ripple’s blockchain technology, a company representative said Wednesday.
“We want smart people and smart entrepreneurs, who can solve a problem using XRP,” Cory Johnson, chief market strategist at Ripple, told CNBC in an interview Wednesday.
“There’s money sitting there to be used,” Johnson added.
Currently, Ripple’s technology is mostly applied to real-time transaction settlements for banks. The company has announced partnerships with U.S. money transfer giants MoneyGram and Western Union as well as American Express and Santander.
Ripple’s strategist compared the potential for Ripple’s technology to iPhone software, which ended up facilitating some of the most valuable private start ups in the world.
“When I got my iPhone I did not think the killer app would be Uber, the most valuable private company in the world, or a competitor to Kodak with Instagram,” Johnson said. “I don’t know what the best use of XRP is going to be, and I hope it’s something we can’t even think of.”
The fund was started by Blockchain Capital, a venture capital firm dedicated to blockchain technology, which underpins cryptocurrencies and records transactions across a distributed network. The original blockchain was used as the foundation for bitcoin.
Ripple’s cryptocurrency, which hit a record high of $3.84 in January, has pulled back significantly to around 49 cents as of Wednesday, according to CoinMarketCap.com. It rose nearly 1 percent shortly after Wednesday’s announcement.