Ripple Is Planning to Go Public, Says SBI CEO
Yoshitaka Kitao, the CEO of SBI Group, has revealed that an initial public offering may be in Ripple's future plans.
Kitao said that during an earnings call with investors. The CEO stated that Ripple is just waiting for the legal battle with the U.S SEC (Securities and Exchange Commission) to reach a conclusion before it embarks on moving forward with its IPO plans.
SBI Group’s claims about Ripple going public holds weight. The financial services company is Ripple's largest third-party investor in Ripple and therefore is able to provide insider insight on the matter. SBI has invested heavily in fintech companies, including Ripple and its competitor R3. During the earnings call presentation, Kitao stated that SBI Group’s investment in Ripple will pay off following its IPO.
Kitao’s claim that Ripple will go public is something that has been backed by previous statements from Ripple CEO Brad Garlinghouse and Executive Chairman Chris Larsen.
Kitao said: “After the current lawsuit, Ripple will go public. The current CEO wants to do that. Chris wants to do that.”
Even before all the lawsuit issues emerged, Garlinghouse had been talking about a potential IPO for Ripple.
In the past, Garlinghouse stated that he believed that blockchain and cryptocurrency IPOs were going to become more common and even mentioned that Ripple will be among the crypto firms. He said: “In the next 12 months, you’ll see IPOs in the crypto/blockchain space. We’re not going to be the first, and we’re not going to be the last, but I expect us to be on the leading side. It’s a natural evolution for our company.”
Crypto Firms Betting on IPOs
Coinbase made history when it went public through a direct listing on Nasdaq stock market at the beginning of this month. The recent big debut has paved the way for several crypto-related firms planning to go public next. Coinbase’s direct listing provides something of a test case for other cryptocurrency companies.
For several crypto firms, the decision to go public will depend on the financial interest in the market. While others may seize the moment right away, others may sit tight.
For example, San Francisco-based Kraken crypto exchange is considering going public in 2022.
London-based crypto firm Blockchain.com is contemplating a public debut and recently revealed that it is carefully considering its public-market options, although it is not in a rush. Bakkt, BlockFi, eToro, and Gemini are all pondering a debut as well as Ripple, who is also considering going public.
Image source: Shutterstock