Market Volatility Highlights Risks of Ripple’s DAT Initiative

[kevin1]

Ripple’s proposed fundraising comes amid market volatility that has exposed vulnerabilities in digital asset treasuries.

The October 10 market sell-off saw major treasury-heavy companies like MicroStrategy and Metaplanet suffer steep declines, underscoring the risks associated with equity premiums, leverage, and issuance-based treasury models.

Analysts note that a downturn in sentiment could force asset sales, creating a downward spiral—raising questions about how Ripple’s large-scale XRP acquisition might be affected in a turbulent market.

[Pitchfork_IS_power]

Ripple’s fundraising plan couldn’t come at a riskier time — with market volatility high, even strong treasuries are feeling the pressure. ️

[Couturier]

Exactly , raising funds in a shaky market adds extra risk. Ripple’s timing could either prove bold or backfire fast.

[The_Walking_Dead]

Raising capital during a volatile market is always a gamble .Ripple’s timing could either spark confidence or trigger more uncertainty.