VivoPower, a publicly traded company on NASDAQ, has announced a $100 million partnership with the blockchain network Flare

VivoPower, a publicly traded company on NASDAQ, has announced a $100 million partnership with the blockchain network Flare in order to secure passive income

VivoPower, a publicly traded company on NASDAQ, is planning to generate passive income from its XRP holdings with a $100 million partnership with the blockchain network Flare.

The company, which is being supported by a consortium of shareholders, including Saudi royalty, will be actively using its XRP for generating yield instead of just holding the tokens.

The passive income earned as a result of this deal will be reinvested back into the Ripple-linked token. In such a way, the company plans to increase shareholder value.

The deal is particularly interesting for the popular altcoin as it presents a new institutional use case for the XRP token.

Flare, which is a programmable layer that enables decentralized finance (DeFi) on the XRP Ledger, and VivoPower are pitching XRP to institutions in the form of "XRPFi."

This new class of asset will combine the properties of the original XRP token with Flare Network's programmable smart contracts to enable new use cases, such as structured products, index tracking, and tokenized derivatives.

Moreover, Ripple's fledgling RLUSD stablecoin, which was rolled out last December, will also be used as VivoPower’s primary cash-equivalent reserve

After pivoting from sustainable energy to cryptocurrency, VivoPower's new strategy is being managed with the help of former Ripple Asia executives.

As reported by U.Today, the company is focusing on increasing the value of its XRP holdings through yield-generating strategies.

The company will be deploying a variety of DeFi protocols and financial products to generate passive income, which will be used to buy more XRP and increase shareholder value over time.

In late May, VivoPower, a minor sustainable energy company, revealed that it had secured $121 million for funding its XRP treasury strategy with the help of Saudi royalty.

As reported by U.Today, infrastructure company BitGo will be responsible for handling the company's nine-digit XRP purchase.