Ripple President Confirms No IPO Plans, Focuses on Growth
- Ripple confirms no immediate IPO plans, focusing on expanding payments and stablecoins.
- $500 million funding round increases Ripple’s valuation to $40 billion with major investors.
- Mastercard and Gemini join Ripple in testing RLUSD stablecoin for credit card transactions.
Ripple, a blockchain payments company, has made it clear that it has no immediate plans to go public. Ripple President Monica Long confirmed in a Bloomberg interview that the company has no IPO timeline or plans. This signals Ripple’s commitment to focusing on its core business rather than following the trend of digital asset firms going public.
Ripple’s primary focus remains on expanding its payments business, launching stablecoins, and building new partnerships. Long emphasized that an IPO is not part of the company’s current strategy. Ripple’s goals include expanding its XRP payment solutions and further developing its stablecoin offerings, such as RLUSD.
Ripple Secures $500M Funding, Expands into Stablecoin Market
Ripple closed a significant $500 million funding round, pushing its valuation to $40 billion. Major investors, including Fortress Investment Group, Citadel Securities, and Pantera Capital, led the funding round. Other contributors included Galaxy Digital, Brevan Howard, and Marshall Wace. This successful round adds to Ripple’s financial strength as it looks to expand.
Ripple partnered with Mastercard, WebBank, and Gemini to pilot programs with the intention of using Ripple’s RLUSD stablecoin to settle credit card transactions. This pilot program aims to improve Ripple’s position on real-world payments and stablecoin.
Ripple’s RLUSD stablecoin is also part of Ripple’s strategy to use stablecoins, which aims to strengthen Ripple’s position on the blockchain payments network. The pilot program is expected to accelerate Ripple’s RLUSD stablecoin, which surpassed a $1 billion market cap this week.
Despite securing massive funding, Ripple President Monica Long emphasized that the company has no plans to go public. Ripple could sustain itself and has the resources and capital to fund growth entirely from internal sources. Long stated, “We’ve been able to be very well capitalized and fund all of our organic growth, inorganic growth, strategic partnerships, anything we want to do,”
Ripple is also financially stable and is underscored by the company’s exponential customer growth. Long said Ripple’s customer base doubled every quarter. Such funding, coupled with robust growth, allows Ripple to continue expanding its market base and presence without an IPO.
Ripple Delays IPO, Focuses on Growth Amid Competitors’ IPO Rush
Gemini and Circle Internet Group have recently gone public. Many other blockchain companies are also pushing to accomplish this faster than others. The crypto exchange Kraken is expected to go public, while Ripple is taking a slower, more cautious approach.
For Ripple holders, the fact that Ripple is delaying an IPO is a decision with mixed ramifications. On the one hand, Ripple is expanding its core business, which is a strong indicator of the business’s long-term potential. On the other hand, the prediction of a postponed public listing and the events that accompany the IPO are in a strong position.
Related: Ripple’s RLUSD Enters Mastercard’s Payment Settlement Pilot
Unlike other blockchain peers, Ripple has decided to remain private, a decision sharply different from theirs. Other blockchain companies, like ConsenSys, have secured over $725 million in funding. Major firms such as SoftBank and BlackRock have invested, with an IPO reportedly in the works.
Ripple’s postponement of its IPO shows the company’s confidence in its growth strategy. Considering the company’s impressive financial records and expanding client base, Ripple plans to focus on growth. It aims to strengthen its blockchain payment systems and stablecoin offerings.
