Ripple should prepare for IPO after SEC case resolution, says SBI CEO

Ripple’s IPO prospects are back in focus as SBI Holdings CEO Yoshitaka Kitao urges the company to prepare for going public after resolving its SEC legal battle.

While Ripple CEO Brad Garlinghouse acknowledges the possibility, he stresses that an IPO is not a current priority due to the company’s strong financial standing.

Ripple’s IPO back in focus

Ripple, a leading blockchain company, is again in the spotlight because of talks about its initial public offering (IPO) resurfacing. Yoshitaka Kitao, CEO of SBI Holdings, recently urged Ripple to prepare for an IPO once its legal dispute with the U.S. Securities and Exchange Commission (SEC) concludes.

The SEC lawsuit , initiated in 2020, accused Ripple of conducting an unregistered securities offering by selling its XRP token. While Ripple achieved a partial legal victory in 2023, the SEC’s recent appeal in October has prolonged the case. However, legal analysts believe the appeal could be shelved, especially with potential leadership changes at the SEC, potentially clearing the path for Ripple to explore an IPO.

Garlinghouse’s stance on Ripple’s public listing

Ripple CEO Brad Garlinghouse has previously acknowledged the possibility of going public but noted that it is not a top priority for the company.

Ripple’s financial position remains strong and does not rely on an IPO for funding. However, Garlinghouse has also expressed interest in revisiting IPO plans once the regulatory issues are resolved, as he had previously envisioned Ripple going public in 2020 before the SEC case disrupted those plans.

If Ripple decides to pursue an IPO, it will mark a milestone in the blockchain industry. It could increase Ripple’s valuation and solidify its position as a global leader in blockchain solutions. The resolution of the SEC case would also provide much-needed regulatory clarity and pave the way for Ripple to focus on expansion and innovation.

For now, Ripple is proceeding with consideration. Still, the possibility of an IPO is not ruled out.

At the time of writing, XRP was trading at $1.0331. On Nov. 16, the price spiked to as high as $1.2698, a level not seen since November 2021.