Ripple Holds Over $100 Billion in XRP
Date: 2025-01-07 Author: Henry Casey Categories: BUSINESS
He believes that this information is important for properly assessing Ripple’s market value.
In an interview with Devin Ryan, a fintech expert at JMP Securities, Garlinghouse noted that the current value of the company’s XRP reserve is significantly higher than the stated amount. This, in his opinion, should be taken into account when assessing the company’s market capitalization. He also noted that Ripple shares are traded on secondary markets at a large discount to their real value.
According to Reuters, in early 2024, Ripple’s market valuation was around $11 billion after completing a share buyback deal worth around $300 million. However, Garlinghouse is confident that this valuation is long outdated and does not correspond to current realities. He emphasized that the $11 billion figure is no longer relevant and does not reflect the true value of the company.
Garlinghouse also expressed doubts about the market valuation of MicroStrategy, in particular, in relation to its net assets, but noted that he is not against this company and does not question its success.
Regarding the possible IPO of the company, Garlinghouse said that for several years Ripple did not plan to go public, since under the previous leadership of the SEC, it was not economically feasible. He noted that an IPO was not a priority for the company at that time.
As for the future prospects of the company, Garlinghouse expressed confidence that Ripple will remain a leader in the development of blockchain infrastructure for the financial sector. He noted that demand for the company's data storage solutions remains high, and the stablecoin Ripple USD (RLUSD) is attracting interest in the market. In recent weeks, since the departure of SEC Chairman Gary Gensler, there has been an increase in interest in Ripple, which, according to Garlinghouse, is somewhat burdensome for the company.
