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The XRP community would not see a Ripple IPO in the US, as Brad Garlinghouse has ruled out the chances of such an occurrence.
Ripple CEO Brad Garlinghouse has dashed the XRP community’s hopes of an imminent initial public offering (IPO). Garlinghouse clearly stated in the Korean Blockchain Week on Wednesday that Ripple Labs will not pursue an IPO in the United States.
The Ripple boss cited an unclear regulatory environment as the driving force behind his position, noting that his firm is not interested in another round of legal tussle. Garlinghouse stated that the regulatory crisis conjured by the US Securities and Exchange Commission (SEC) on cryptocurrencies in the state had discouraged initiatives like an IPO among cryptocurrency firms, Ripple included.
Garlinghouse had earlier obliged to the idea of an initial public offering, exciting the XRP community with narrative. Per an earlier report, the Ripple boss teased an IPO possibility outside the United States but didn’t entirely rule out a replica in the country.
Ripple CEO Discourages US Investments
The Ripple Lab CEO further advised cryptocurrency firms aiming to permeate the US market to reconsider as digital asset policies were still hazy. According to him, operating in the country was a ploy to incur more legal bills.
Ripple battled the SEC for four years over whether XRPL’s native token, XRP, was a security. The payment giant recently secured a victory against the Wall Street top regulator, agreeing to a $125 million fine to close the case.
Garlinghouse has been vocal about the SEC boss, Gary Gensler’s unnecessary flex of authority on the crypto sector in the United States. In a recent statement, he noted that Gensler will be out of his job despite the outcome of the November presidential election.
Notable Crypto IPOs
Despite the unclear US regulatory landscape, a few crypto firms have filed for an IPO with the SEC. Many firms, like Circle, Telegram, and Reddit, filed an S-1 with the SEC to go public in the United States.
However, only Reddit has seen its IPO plans getting to fruition yet. The social platform went live in the public market with the ticker RDDT on March 21. The SEC has not yet approved filings from Circle and Telegram.
Telegram’s hope of an IPO saw further setbacks following the issues surrounding its founder, Durov Pavel. The French authorities arrested Durov last month, charging him with cyberbullying and drug trafficking, among others.