[US Morning Briefing] Ripple's $20 Billion IPO Valuation: Will It Benefit XRP Prices?

Welcome to the US Cryptocurrency Morning Briefing. We'll briefly summarize today's key cryptocurrency highlights.

The IPO controversy for Ripple is resurfacing.

Ripple IPO Speculation Reignited

While the Ripple IPO remains uncertain, market observers are already predicting what a $20 billion valuation would mean for XRP and the broader cryptocurrency stock market.

Ripple's official stance is that no IPO is scheduled until 2025. However, rumors have circulated again. Paul Barron mentioned this week that Ripple's pre-IPO shares are already trading at a $20 billion value in over-the-counter (OTC) trading. This is nearly double the recent share buyback round of $11.3 billion.

He emphasized that a listing could help Ripple gain institutional capital, investor liquidity, and mainstream legitimacy. However, Barron warns there are caveats.

"Ripple stock ≠ XRP token performance," Barron warned.

Nevertheless, XRP holders are watching closely, expecting the Ripple IPO to move the market.

Analysts Link XRP Stock

The most optimistic voices argue that Ripple's IPO could trigger a new era of token and stock convergence. Analyst Virtual Bacon cited the Circle IPO's stock rise, stating that demand from traditional finance (TradFi) for cryptocurrency companies is real.

According to analysts, a potential Ripple IPO could open a flood of capital, especially due to the unique XRP-stock connection.

This connection relies on Ripple's central role in the XRP ledger ecosystem and XRP holdings.

Rising stock value could indirectly boost sentiment and visibility for XRP, even if assets are not legally linked.

Additionally, analyst SMQKE pointed to a recent SBI Holdings statement, suggesting that the long-standing Ripple-SEC lawsuit was a major IPO blocking factor but is approaching resolution.

"The price suppression of XRP is coming to an end," they said.

This statement implies that legal clarity could clear the runway for XRP and Ripple's market debut.

Big Money Moves in the Background

Meanwhile, Jeremy Raper is tracking private equity movements and observing signs of high-risk positioning. He estimates that insiders could unlock up to $1.1 billion if Ripple retires circulating shares before the IPO, based on current net asset value (NAV) and discounted XRP holdings.

This analysis suggests Ripple's IPO could trigger financial realignment across intertwined stock and cryptocurrency markets. However, Ripple CEO Brad Garlinghouse continues to dodge confirmation, refuting IPO interest in April.

"Most companies go public to raise capital. We didn't need to raise capital," Garlinghouse explained.

Nevertheless, analysts suggest a listing could be possible within 6-12 months. This optimism comes amid the 2025 IPO revival, with companies like Circle, Gemini, and TRON entering the market.

If Ripple goes public, it won't be just a corporate milestone. It could signal the mainstreaming of the crypto-native ecosystem through traditional finance (TradFi) channels.

For XRP, the IPO may not provide direct price appreciation but could contribute to network legitimization in a way no airdrop or partnership has achieved.

Meanwhile, it's important to recall recent US cryptocurrency news reporting that Coinbase IPO investors have made their first profit in four years.

Today's Chart

US Cryptocurrency News Summary

Here's a summary of today's notable US cryptocurrency news:

• Why Coinbase's USDC fee change feels like a bank trap
• Regulatory authorities announce a settlement with Paxos for $48.5 million amid Binance's AML issues
• The UK Central Bank is expected to reduce interest rates to 4.0%. Inflation is rising.
• Bitcoin approaches $117,000 ahead of Trump's 401(k) cryptocurrency plan
• Ripple price is wrestling near $3. Can XRP buyers overcome the whales' wall?
• Low market cap cryptocurrency token fever is catching attention. Fortunes are changing overnight
• Why the Fed's rate cuts may not be the bullish signal cryptocurrency traders are expecting
• Calm before the storm? Reasons why Bitcoin's sideways price could end in a sharp movement
• Bitcoin's memory loss after all-time high: BTC price trapped in low liquidity gap
• Two factors to watch: Why August could be a big month for XLM