Matt Rosendin, a former Ripple software engineer and current CEO of tokenization provider CapSign, has shared key insights on Ripple’s potential IPO plans.
During a recent podcast hosted by Ray Fuentes, Rosendin indicated that Ripple is less inclined toward an initial public offering (IPO) compared to other major fintech firms. He emphasized that going public is not a top priority for the cross-border payments giant at this stage.
For those unfamiliar, an IPO allows private companies to transition into publicly traded entities by offering shares to the general public. Typically, companies pursue IPOs to raise capital for expansion and attract liquidity from institutional and retail investors.
### **Why an IPO May Not Make Sense for Ripple**
Rosendin made these remarks when asked whether Ripple might go public before companies like Circle, Kraken, or Consensys. Many industry experts, including Bitwise, predict that 2025 could be a big year for crypto-related IPOs.
Agreeing with this outlook, Rosendin suggested that Circle is likely to go public first, given its recent IPO filing with the U.S. Securities and Exchange Commission (SEC). However, he noted that Ripple may prefer to remain private, as an IPO offers little incentive for the company.
This revelation may not come as a shock to XRP supporters, as Ripple executives have previously downplayed IPO plans. Last September, CEO Brad Garlinghouse dismissed the idea of a U.S. IPO due to regulatory challenges. While he later left the door open if regulations improve, he reiterated that Ripple has no urgent need to raise capital through an IPO.
### **Could an IPO Boost XRP’s Price?**
Some speculate that a Ripple IPO could propel XRP to new highs. Prominent U.S. attorney John Deaton has even suggested that XRP could reach $8.72 if Ripple goes public. However, Rosendin’s comments cast doubt on this possibility.
### **The Downsides of Going Public**
While an IPO can provide liquidity and visibility, it also comes with drawbacks:
- **Loss of autonomy** – Founders may cede control to shareholders.
- **Increased scrutiny** – Public companies face strict reporting requirements and investor expectations.
- **Regulatory burdens** – Compliance costs and legal risks rise significantly.
Given Ripple’s strong financial position, the company may see little benefit in enduring these challenges.
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**Disclaimer:** This article is for informational purposes only and does not constitute financial advice. The views expressed are the author’s own and do not necessarily reflect those of Binance Square. Readers should conduct their own research before making investment decisions. Binance Square is not responsible for any financial losses.