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Ripple IPO?

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Did anyone catch the comment made by Garlinghouse regarding an IPO?  If that were to happen, would that mean anything to the price of XRP?

Excerpt from CNBC interview:

Jackson: What are the pros and cons of a Ripple IPO?

Garlinghouse: It's a flattering question to get. I want to make sure we have the right managerial maturity, infrastructure, and ability to forecast properly. We've been around for 4.5 years. At some point it will make sense. Just not today.

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I noticed that, he was quite unreserved about a future IPO. I could see an IPO happening sooner rather than later if there was significant demand for Ripple tech and they needed capital to scale quickly.

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Not sure they need an IPO to raise capital - after all they've got xrp. Before the lock up announcement they said they were spending 300M XRP monthly - obviously before the price increase. But at current price if they continued selling that they'd get approx. $60m per month. That's bigger that most multinationals. Not saying they will spend that I doubt they will, but if they have any pressing issues to scale up quickly that option is always there. Plus if we add in the approx. $10m they're getting for setting up ripple on customers and they have approx. 90+ companies I don't see any need for money.

 

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Agreed, they don't need extra money at the moment IMO, and I wouldn't know why they would give their independence out of hand.

A quick upscale is often a reason to get extra money, if they need to higher many more people, or they have to build offices in more countries for example. But again, they should have enough income from XRP and during the next couple of years, we all expect the value of XRP to increase, so their inflow of money will increase as well.

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An IPO for ripple gives the crypto crusaders more fuel in the anti ripple bank coin propaganda. I would imagine it could ultimately lead to the slow death of XRP as well as the business model would shift to a tech company selling software rather then selling XRP as a coin to save banks millions.

If ripple would offer 1 to 1 shares for bag holders, then maybe its not such a bad idea....

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1 hour ago, zerpdigger said:

i really hope they don't do an IPO for as long as possible, and try to maximise their XRP holdings instead

they'd have so much more autonomy, going IPO will eventually turn them into another corporate drone slave to its purely profit driven shareholders

Agree with this too. Looking at the potential silver lining do you thing that IPO investors may also be people that would not necessarily have looked at XRP and in the long run may also put some money later down the line into XRP? 

If the stocks do well that may also shine a light on XRP - the converse may also be true though I suppose. 

Hopefully they'll hold off on the IPO!!!

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10 minutes ago, Xrpdude said:

Agree with this too. Looking at the potential silver lining do you thing that IPO investors may also be people that would not necessarily have looked at XRP and in the long run may also put some money later down the line into XRP? 

If the stocks do well that may also shine a light on XRP - the converse may also be true though I suppose. 

Hopefully they'll hold off on the IPO!!!

not sure -- all valid questions and concerns

which is why i think they should use xrp as long as possible to be sure of success, it's the best self-reinforcing incentives mechanism they could possibly ask for... IPO comes with risks and rewards

Edited by zerpdigger

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1 hour ago, woodaldo said:

Not sure they need an IPO to raise capital - after all they've got xrp. Before the lock up announcement they said they were spending 300M XRP monthly - obviously before the price increase. But at current price if they continued selling that they'd get approx. $60m per month. That's bigger that most multinationals. Not saying they will spend that I doubt they will, but if they have any pressing issues to scale up quickly that option is always there. Plus if we add in the approx. $10m they're getting for setting up ripple on customers and they have approx. 90+ companies I don't see any need for money.

 

I'm not arguing they would IPO soon, just that a need for capital could drive that. Yes they XRP but would depend on how much they would tank the price by trying to liquidate say $200M of XRP. I don't think they're selling their 300M of XRP/mo market rate. Maybe they were when XRP was much cheaper but unit sales have slowed down as XRP has appreciated.

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Whereas I agree that it would be nice to see some delay before an IPO there is always the credibility factor with the customer base. The degree of access in to the Asian market would not have been achieved without the credibility brought by the joint venture with SBI Holdings. The deliberate strategy of working with the banks with an open source technology might demand a sooner rather than later IPO. Just a thought. However I admit I am a "newbie" and learning so much from XRP chat.

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4 hours ago, cmbartley said:

I noticed that, he was quite unreserved about a future IPO. I could see an IPO happening sooner rather than later if there was significant demand for Ripple tech and they needed capital to scale quickly.

need capital?  hahah, they have 55bio xrp in stock, bye

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My immediate reaction to this is that it's poor. Why do they need to do an IPO when they've got XRP? It feels like when you own shares in a stock and the company does a capital raising, causing the price to plummet. It's news like this that makes me feel that Ripple just isn't going anywhere as a company.

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