Unlocking Ripple’s Potential: A Post-SEC Triumph

Ripple, the blockchain-based international payment system, has recently achieved a significant legal victory against the SEC, marking a turning point in its journey. This triumph not only brings stability to Ripple but also opens doors to fresh opportunities, including a strategic partnership with Mastercard. Despite the current turbulence in the cryptocurrency market, Ripple’s native token, XRP, continues to attract favorable interest from investors.

Linda Jones’s Optimistic Outlook on XRP

Linda Jones, a highly regarded figure on Wall Street, holds an optimistic view of XRP’s potential. She argues that acquiring Ripple stocks at their current price, approximately $40, before an anticipated Initial Public Offering (IPO), is a shrewd investment move. Despite the current stock valuation, Jones advises investors to focus on the bigger picture and assess Ripple’s intrinsic value, which she estimates to be around $6.6 billion.

Jones contends that Ripple possesses substantial growth potential in the coming years compared to Coinbase, a prominent U.S.-based cryptocurrency exchange that went public with a staggering valuation of $86 billion. Given that Ripple’s current valuation is just a fraction of Coinbase’s, Jones suggests that individuals investing in Ripple shares today could potentially witness their initial investment multiply by more than ten times.

To illustrate this point, she provides a compelling example: if an investor allocates $10,000 to Ripple at this moment, this investment could potentially grow to $100,000, even without Ripple surpassing Coinbase’s performance.

Considering Future Implications

What adds intrigue to this scenario is Ripple’s unique accounting approach. Currently, Ripple does not assign any value to its XRP assets on its balance sheet. Jones argues that if Ripple were to assign a value to its XRP holdings at the current price of $0.5 or even based on its previous high of approximately $3.84, the growth potential would be substantial.

A $10,000 investment in Ripple could yield an impressive return on investment (ROI) of $140,000, assuming Ripple follows a trajectory similar to Coinbase. However, it’s essential to bear in mind that investing in stocks always carries a level of risk, and past performance does not necessarily predict future outcomes.

The Prospect of a Ripple IPO

Ripple Labs, the entity behind the XRP cryptocurrency, has not yet initiated the process for an initial public offering (IPO). However, in 2022, Ripple’s CEO, Brad Garlinghouse, indicated to CNBC that the company would consider an IPO once its legal battle with the Securities and Exchange Commission concluded.

In August 2023, Ripple made headlines by announcing a grand celebration event in New York to commemorate its legal victory. This development has reignited discussions about the possibility of a Ripple IPO.

In April 2023, Ripple conducted a private ‘road show,’ engaging potential investors to gauge their interest in a potential public listing. Many experts speculate that a Ripple IPO could significantly influence the value of the XRP cryptocurrency itself. Ambitious price targets have now been set for XRP, especially after enduring an 18-month period of subdued growth in the United States due to the ongoing lawsuit.

It is essential, however, to distinguish between shares in the publicly traded company Ripple Labs and the XRP token itself. While the former may offer intriguing investment prospects, the latter continues to be an intriguing asset in the ever-evolving world of cryptocurrencies.