Ripple's $15B Valuation Places it Among Top Private Companies

Ripple, a blockchain company, has been ranked as the 23rd biggest private company with a market capitalization of $15 billion. The company, associated with the XRP cryptocurrency, is not currently planning to go public despite its CEO previously stating it would be an early IPO candidate. Ripple's valuation ranks it above Swedish fintech company Klarna and defense technology company Anduril.

Ripple, a blockchain company, has taken a significant step towards expanding its financial infrastructure by releasing the first volume of its Office of the Comptroller of the Currency (OCC) banking license application. The company aims to establish a National Trust Bank, focusing on its native stablecoin, RLUSD, rather than its native cryptocurrency, XRP [1].

Ripple's application, submitted on July 2, 2023, proposes the creation of a limited national trust bank that will operate as a subsidiary of Ripple Labs. The bank will be headquartered in New York and will not engage in traditional banking activities such as taking deposits or lending. Instead, it will focus on fiduciary activities, providing custody and infrastructure services under the OCC's oversight [1].

The application highlights Ripple's commitment to regulatory compliance and experienced governance. The five-man governance panel includes experienced financial executives and legal leaders, demonstrating Ripple's dedication to regulatory oversight [1]. This move is seen as a strategic step to establish a unique benchmark for trust in the stablecoin market, separate from Ripple's XRP cryptocurrency [1].

Despite Ripple's focus on RLUSD, the company has not ruled out potential future integration of XRP. The application's exclusion of XRP is seen as a deliberate act to avoid entanglement with the cryptocurrency's legal scrutiny [1]. This strategic separation allows Ripple to operate within a business-to-business (B2B) framework, focusing on custody, tokenization infrastructure, and stablecoin management rather than retail banking.

Ripple's market position remains strong, with a market capitalization of $15 billion, ranking it as the 23rd biggest private company. This valuation places Ripple above Swedish fintech company Klarna and defense technology company Anduril. However, Ripple's CEO, Brad Garlinghouse, has previously stated that the company is not planning to go public despite being an early IPO candidate [1].

Ripple's focus on regulatory compliance and stablecoin management positions it as a key player in the evolving financial technology landscape. The company's strategic moves, including the OCC banking license application and the establishment of the National Trust Bank, reflect its commitment to building a robust and compliant financial infrastructure.

References:
[1] https://www.cryptopolitan.com/ripple-occ-banking-license-application/
[2] https://u.today/xrp-reset-price-just-made-most-important-move
[3] https://www.firstonline.info/en/Microsoft--like-Nvidia--has-surpassed-a-market-capitalization-of-4-trillion.-Here-are-the-things-that-pushed-the-stock-market-price./