Ripple’s $500 million equity financing round last November had some interesting terms.

The investors in this round got two key protections: first, a guaranteed buyback right. If things go south, they can sell their shares back to Ripple at a pre-agreed price that ensures a certain return. Second, priority rights—if Ripple goes bankrupt, is liquidated, or gets acquired, these investors get first dibs when it comes to payouts and decision-making.

The lead investors are major players from traditional finance—Citadel Securities and Fortress are both involved. This kind of deal structure isn’t common in the crypto industry; it’s more reminiscent of the traditional VC playbook.

To put it bluntly: I’ll give you money, but you have to cover the downside risk, and I want to share in the upside gains. For Ripple, getting these Wall Street institutions to invest is a strong vote of confidence, but it comes at the cost of giving up significant control and financial flexibility.

The timing of this round is also notable—it happened right when the SEC lawsuit was still unresolved and XRP market expectations were fluctuating. The fact that traditional capital was willing to come in at this point is, in a way, a real-money vote of confidence in Ripple’s long-term value.