Blockchain and cryptocurrency have been making waves in the past decade. Bitcoin and the altcoins like XRP have been developing their systems. These days, there are rumors of an initial public offering (IPO) on the way. SharesPost reported that there’s a current investigation conducted by the Alternative Trading System (ATS) to find out if Ripple IPO would make an attractive investment. Read on to know more about this news report.
While cryptocurrencies, such as XRP, could work as a form of settlement solution, there’s a significant roadblock, which is the tight financial competition. That’s why there’s a doubt if Ripple would be able to overcome it, and investment companies like BTC Trading Inc review the possibilities of Ripple getting an IPO.
Ripple had received the Series C funding round on December 20th, 2019. It consisted of three investors that raised 200 million US dollars, which is more than the amount of all funding rounds combined in the past. According to a trusted source, the previous funding rounds reached 93.60 million USD, and the Series C funding round earned 200 million USD. It gives a total of 293.6 million dollars of funding received, which is massive at a 300 percent rate.
Effects and Expectations
With the completion of the Series C funding, Ripple is so close to publicly trading, in which the company can now make an acquisition or IPO. Ripple is now maturing and proving itself in the crypto marketplace as what BTC Trading Inc Review discusses.
Today, venture capital firms specializing in Series C funding invest in making a more appealing business that is ready for acquisition, supporting a public offering. Ripple is now valued at 10 billion dollars and has more than 500 employees with offices worldwide, making going public a sensible decision. Once Ripple goes public, Ripple and XRP would become visible to investors, most notably with good-performing stock. But could Ripple compete with banks and other big financial institutions?
Concerns and Feasibility
Ripple exchange researchers have expressed concerns regarding the long term viability and feasibility of the settlements and remittance solution provider. Also, there are doubts about the success of IPO, in which the company might fare better if a larger institution managed it.
However, Ripple has an efficient, reliable, and safe product for an alternative payment method, which is RippleNet. That’s why An IPO would be an exciting venture for the company. However, Brad Garlinghouse, Ripple CEO, said that the company is not yet ready for an IPO, but would be a possibility in the future. There are still technologies that they want to explore for now.
With an initial public offering, Ripple places itself in a direct collision course with banks and other major financial institutions by developing their solutions. Unlike the heroic story where David could overcome Goliath, the giants could crush Ripple. So, it will take some time for Ripple to gain enough power to slay the giant. It’s just biding its time before it makes its momentous step forward.