John Deaton, an attorney and prominent figure in the XRP community, has sparked renewed interest in Ripple’s potential initial public offering (IPO). He suggested that achieving a market cap of $100 billion could be a realistic goal for Ripple, particularly in light of current market conditions.
In a recent commentary regarding Circle’s impressive stock market debut, Deaton noted that while Ripple CEO Brad Garlinghouse has minimized the immediate need for an IPO, the changing landscape may prompt a reassessment of that position. Circle’s shares surged over 600% since listing on the New York Stock Exchange earlier this month, catapulting the payments company’s valuation to approximately $66.2 billion—exceeding the total market capitalization of its own USDC stablecoin, which stands at $61.3 billion. This remarkable discrepancy suggests that investor confidence in the equity may be outpacing the actual value of the product itself.
Deaton drew parallels between Circle and Ripple, arguing that if Circle can attain its current valuation, Ripple—with its significant holdings of XRP, exceeding 40 billion tokens, and a current token price around $2—could also realistically exceed the $100 billion valuation if it chooses to enter the public markets.
At present, Ripple holds 36.2 billion XRP in escrow, valued at over $78.8 billion based on current prices. This figure does not account for the company’s enterprise blockchain capabilities or its extensive global partnerships, which further enhance its market position.
Earlier this year, Ripple was privately valued at $11.3 billion, however, this estimate may have shifted considerably as XRP nears inclusion in exchange-traded funds (ETFs). In April, Ripple President Monica Long stated that the company does not plan an IPO in 2025, indicating a solid financial footing after a share buyback. Garlinghouse echoed this sentiment, noting an IPO is “possible, but not a top priority.”
However, with market comparisons like Circle establishing a new benchmark and capital markets rewarding cryptocurrency firms with substantial premiums, Ripple’s stance on public offerings might be subject to change sooner rather than later.
The evolving landscape of the cryptocurrency market continues to present new challenges and opportunities, compelling firms like Ripple to weigh the prospects of public financing against the backdrop of significant industry shifts.
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