SBI Group CEO Reveals Ripple IPO Plans After Settlement With SEC Over XRP Lawsuit
The CEO of SBI Group, Yoshitaka Kitao, has disclosed Ripple’s plans to go public once its case with the United States Securities and Exchange Commission (SEC) is settled. SBI is the largest shareholder of Ripple Labs.
Kitao mentioned this in his speech during an earnings presentation call.
Ripple’s Executives Plan To Take Ripple Public
According to Kitao, Ripple CEO Brad Garlinghouse and executive chairman Chris Larsen are ready for an initial public offering and have both supported the step.
Garlinghouse had previously indicated his interest in a potential Initial Public Offering (IPO) last year. He even predicted that IPOs would become more prevalent in the crypto industry as many companies would head down that road.
“In the next 12 months, you’ll see IPOs in the crypto/blockchain space. We’re not going to be the first and we’re not going to be the last, but I expect us to be on the leading side. It’s a natural evolution for our company.”
Over the years, SBI has invested heavily into fintech companies like Ripple as part of its strategy, according to Kitao. He added that when Ripple becomes public, its investment would pay off.
Ever since the SEC lawsuit, the SBI has stood behind Ripple, firmly showing support. The Japan-based conglomerate launched an initiative to reward shareholders with XRP tokens at a time where XRP was facing a backlash as several exchanges delisted it.
This initiative which was held for the second time after the first program was launched in August 2019, covered only shareholders who had a minimum holding of 100 or more.
Ripple's Unending Bout with the SEC
The SEC Ripple lawsuit has been filled with twists and turns ever since it started in December 2020.
The SEC had filed the lawsuit against Ripple as well as its executives, Garlinghouse and Larsen, alleging that they had raised over $1.3-billion through unregistered digital assets securities offering.
So far, Ripple has managed to achieve a series of minor legal victories, bringing more hopes to investors and, in turn feeding the market sentiment of the XRP, thereby driving it upwards.
Earlier this week, Ripple’s CEO had said he was pleased with the turn of events concerning his firm's tussle with the SEC.
This follows the recent accusation of harassment which the SEC accused Ripple of in a recent letter to Judge Sarah Netburn. Ripple had requested internal records and communications from the agency relating to Bitcoin, and Ethereum but that did not go down well with the regulator.