Ripple will consider an Initial Public Offering (IPO) once legal issues are resolved with the Securities and Exchange Commission.
Ripple (XRP) CEO Brad Garlinghouse attended the World Economic Forum held in Davos, Switzerland. Garlinghouse had the opportunity to meet with senior executives from many countries during the forum. The successful CEO made important statements about the SEC lawsuit and the company's roadmap after the lawsuit in an interview with CNBC during the event.
Ripple may go public after the lawsuit
The lawsuit between Ripple and the US Securities and Exchange Commission (SEC) continues. The discovery process in the case, which started in December 2020, was completed in March.
However, despite the fact that the discovery process is over, the court has not yet reached the decision stage in line with the demands of SEC lawyers and lawyers who intervened from outside by assisting the case.
The Ripple company has created the industry's largest network for border payments. However, XRP cannot be listed in the US due to the SEC lawsuit. The SEC alleges that Garlinghouse and then-CEO Chris Larsen took advantage of them during the XRP launch and that XRP is a security.
Ripple's IPO rumors have made a lot of noise in the past years. However, the company has not yet taken official steps in this regard.
Garlinhouse announced that the IPO process, which was first brought to the agenda at the beginning of 2020, will start after the earliest lawsuit;
"I think with the SEC we want to achieve certainty and clarity in the United States. We're investigating the IPO, we're definitely at a point on the scale where this is a possibility. We'll look into that when we get past this lawsuit with the SEC."
Ripple vs. SEC lawsuit update
The SEC lawsuit has been going on for about 15 months. Thousands of documents on the early years of the Ripple company were reviewed by SEC lawyers and the court in the lawsuit. The testimonies of the witnesses were completed and the discovery process came to an end.
However, the SEC continued to make requests to the court, such as the Ripple company giving new statements along with the new documents, and the withdrawal of some evidence previously submitted, despite the completion of the discovery process. New York responded positively to all of these requests.
Finally, a lawyer who followed the case from the outside offered to propose new documents to the court, representing 67 thousand XRP investors. The case is currently in the process of SEC attorneys appealing this request.
Garlinghouse said during the interview that he did not think the SEC side would make an effort to prolong the case any further.
"Our growth is almost entirely outside the United States. I think this will likely continue until we get the clarity and precision we seek in the US. We have no possibility of growth in the US until the SEC case is resolved. I don't think the SEC side will slow the case any more than it does."
Georgia & Ripple meeting
Continuing his talks within the framework of the World Economic Forum, Garlinghouse met with Georgian Prime Minister Irakli Garibashvili on the first day of the forum. During the meeting between the two sides, the steps taken by Georgia toward the blockchain technology and crypto money market were discussed.
Garibashvili invited Ripple officials to open a center in their country during the meeting.
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