Ripple's legal victory fuels IPO speculation and potential $107 billion valuation

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In a recent turn of events, Ripple (XRP) emerged victorious from its legal battle with the US Securities and Exchange Commission (SEC). The verdict, delivered by Judge Analisa Torres, stated that the secondary sales of XRP tokens were not to be classified as investment contracts. The decision, which prevented XRP from being labeled as a security under the SEC's jurisdiction, led to a significant increase in XRP's price and trading volume.

Following the verdict, cryptocurrency platforms that had previously been wary of XRP welcomed it back, expanding its market footprint. The legal clarity and increased trading activity have now shifted the narrative towards the likelihood of XRP breaching the $1 milestone.

As Ripple prepared for its Proper Party on September 28 to celebrate the legal victory, discussions around Ripple's valuation and potential Initial Public Offering (IPO) intensified. Linda P. Jones, a Wall Street analyst, suggested that Ripple's stock value could soar post-IPO, potentially emulating or even surpassing Coinbase (NASDAQ:COIN)'s trajectory.

Jones drew parallels with Coinbase's significant valuation surge post-IPO, suggesting a similar pathway for Ripple given its hefty escrow-held XRP reserve valued at an astounding $21 billion. She also speculated that Ripple's collaboration with noteworthy enterprises and its inherent potential could significantly morph its valuation.

Jones put forth a bold valuation of $5.7 billion for Ripple's stock by analyzing the market cap of the circulating XRP, which is over $21 billion. She argued that the $35 per share valuation is grossly undervalued and proposed a staggering valuation of $107 billion for Ripple. This escalated valuation could send Ripple's stock soaring to around $600, potentially even catapulting it to a half-a-trillion-dollar valuation.

Meanwhile, as Ripple celebrated its victory on Friday in New York, members of the XRP community speculated about possible announcements from the company. Collin Brown, a pro-XRP blockchain researcher, outlined several possibilities in a tweet, including a settlement in Ripple's legal battle with the SEC, an IPO, partnerships with major financial institutions or payment networks, and XRP Futures contracts.

However, not everyone within the XRP community shares the same level of optimism. Some commenters expressed skepticism about these events happening. One user remarked that the party was just a celebration of the court's decision and warned against overly optimistic expectations.

Ripple's Chief Technology Officer, David Schwartz, previously confirmed some of these speculations. In response to a prominent XRP influencer's list of possible outcomes from the party, Schwartz said two of the events would come to pass. The anticipation continues to grow as the crypto community keenly awaits Ripple's next move.

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