Blockchain-based payments company Ripple has reaffirmed its position that it will not pursue an initial public offering (IPO) for the time being. Amidst continued market expectations for an IPO, Ripple appears to have concluded that it possesses sufficient financial stability and growth potential even while unlisted.
In an interview with Bloomberg on the 6th (local time), Monica Long, CEO of Ripple, stated, "There's no specific timetable for an IPO yet," adding, "For now, we plan to remain privately held." She explained, "While an IPO is typically a means of raising capital and securing liquidity, Ripple, as a private company, has secured sufficient funds to support its growth."
Monica Long, CEO, expressed confidence in Ripple's financial structure. She stated, "Ripple currently maintains a very sound financial position and is not constrained by external capital raising or internal investment execution. There is no reason to rush to an IPO." She added, "We are very satisfied with our fundraising performance in the fourth quarter of last year."
Ripple secured approximately $500 million in funding last November. Led by Fortress Investment Group and Citadel Securities, the funding round valued Ripple at approximately $40 billion. This valuation places it among the top global blockchain companies, demonstrating the trust of major financial institutions despite its unlisted status.
The market is interpreting Ripple's recent announcement as a strategic decision to focus on business expansion rather than an IPO. Ripple has primarily focused on international remittances and payment infrastructure, but has recently expanded into tokenization, institutional blockchain solutions, and the expansion of its global financial network. This business structure likely reflects a belief that stable partnerships and long-term investment potential are more important than short-term stock price appreciation.
Especially with the global financial sector recently showing increasing interest in real asset tokenization (RWA) and blockchain-based payment infrastructure, Ripple is being evaluated as being well-positioned to expand collaboration with institutional finance, regardless of whether it goes public. This interview reaffirmed the company's ability to secure sufficient growth capital through strategic investment and internal cash flow, even without an IPO.
Ultimately, Ripple's decision signals a focus on "how to expand its presence in the global financial infrastructure" rather than "when to go public." While leaving an IPO as an option, it appears to be a strategy aimed at maximizing the flexibility and autonomy afforded by its current status as a private company.
