Ripple Labs has no interest in pursuing an initial public offering (IPO) in the US. due to a challenging regulatory environment, according to CEO Brad Garlinghouse.
No U.S. IPO for Ripple – Here’s Why
Speaking at Korea Blockchain Week 2024, Garlinghouse noted that operating as a crypto company under the current U.S. Securities and Exchange Commission (SEC) administration is difficult. His comments drew cues from the SEC’s ongoing crypto crackdown against the sector’s biggest companies, including Coinbase and Binance.
The SEC filed a lawsuit against Ripple, accusing the firm of unregistered securities offerings. A recent ruling by Judge Analisa Torres reduced the fines to $125 million compared to the SEC’s $2 billion demand. Garlinghouse cited Ripple’s experience with the SEC as a cue to warn other companies further that they should not incorporate in the U.S. due to higher legal costs.
Garlinghouse confirmed the company’s Ripple USD (RLUSD) stablecoin is in “closed beta” and could launch publicly within weeks.
Ripple has contributed $48 million to the 2024 U.S. election, with Chief Legal Officer Stuart Alderoty donating 624,000 XRP, worth $300,000, to Donald Trump’s campaign. If re-elected, Trump has promised to make the U.S. a crypto hub.
XRP Bull Run on the Horizon?
While Ripple’s U.S. IPO prospects remain uncertain, XRP’s market outlook appears promising. On Sept. 3, XRP was priced at $0.5496, marking a 3.45% decline in the last 24 hours. Despite the dip, several analysts have forecasted a potential bullish trend for the token.
Crypto analyst Dark Defender shared his outlook on Sept. 3, suggesting XRP could rise as high as $18. He based his analysis on XRP’s breakout from a prolonged consolidation phase between $0.6649 and $0.3917.
According to analysis by World of Charts, XRP is consolidating within a multi-year symmetrical triangle, a pattern often associated with a significant price movement. He notes that with the SEC case largely resolved, the chances for an XRP breakout are higher, pointing to the potential for new all-time highs (ATH) in the coming months.
Further, Cryptoinsightuk highlights the potential for a massive XRP bull run. They point out that XRP’s market dominance once hit 15.5% back in Jan. 2018, when the token was priced at $3.37. If XRP were to regain similar dominance in today’s much larger crypto market, the token’s value could soar to between $11 and $27.5, assuming the overall market continues to expand.
