Ripple content sharing platform Coil receives one billion Ripple (XRP) funding from Ripple Labs, the company behind XRP’s investing arm Xpring. Coil is a monetization platform that rewards content creators with micropayments.
According to the announcement, the investment worth around quarter-million dollars ($0.25M) at current XRP price will be utilized to develop a system that will allow organizations and creators to share are reward content. Moreover, some funds will be used for marketing purposes, including raising awareness for the brand as well as some collaborating companies.
Coil has previously announced a partnership with Imgur and has invested twenty million dollars ($21) into the company. Moreover, Coil’s platform was officially launched in May this year and worked on a subscription basis. Users subscribe for five dollars monthly, which are then awarded to content creators according to streaming basis and the amount of content available on their website.
Coil’s chief executive officer (CEO) Stefan Thomas is the former chief technical officer (CTO) of Ripple Labs. Since its launch, the platform has rewarded more than ten billion micropayments to content creators which can be withdrawn in fiat or XRP. The company hopes to increase the number of such payments in the future.
According to a senior member in Xpring Coil chose XRP because it provides rapid transactions at a low price that are ideal for the kind of monetization Coil provides its users.
Xpring was the only external source investing in Coil’s four million dollars seed round which ended earlier this month.
Although XRP is currently being used as a settlement solution, the company wants to take it a step further as Xpring alone has invested more than half-a-million dollars in XRP projects. Moreover, even community-run funds are building projects on XRP, and in fact, one such project was launched last month.
Nonetheless, Ripple is hedging its investment into the different sector as it is trying to expand its utility while focusing on improving its XRP ledger. Regardless, it is still unclear how institutions are using xRapid.
Although Coil is sure to be happy by the investment it is unlikely to convert it into fiat soon as the price of XRP is trading at a low of 0.26 dollars almost forty percent (40%) down from what the price was at the start of July.