Ripple Looks to the Future With Groundbreaking IPO Following the Settlement of the SEC Lawsuit

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What a difference six months make in the world of cryptocurrencies. In December 2020, an SEC lawsuit threatened to expel Ripple from the crypto landscape for good. The complaint by the U.S. Securities and Exchange Commission alleged that Ripple was too centralized to be regarded as a cryptocurrency, and thus must be recognized as an unregistered security.

Fast forward to May 2021, and there’s speculation that Ripple may become the first cryptocurrency to launch an initial public offering. So, what’s changed? And can Ripple come back from the brink to become a trailblazer in digital finance?

Speculation surrounding Ripple’s IPO resurfaced during an earnings presentation call in which Yoshitaka Kitao, CEO of Japanese financial giants and the largest Ripple shareholders, SBI Group, claimed that Ripple executives were planning to go public once the SEC lawsuit is fully settled.



For SBI Group, a Ripple IPO would be a major boost for the company. Kitao also anticipated that a listing has the potential to trigger more interest in other SBI Group investments in the future, such as those surrounding blockchain consortium R3.

However, it’s important to note that for now, Ripple’s executives are intent on securing legal victories and increasing the adoption of cross-border remittances tokens outside of the US.

Source: CoinGecko

As the chart above shows, the performance of Ripple’s token, XRP, has been erratic to say the least, with a visible downturn in late December following the SEC lawsuit. but the coin started taking on a significantly more optimistic lease on life in the spring of 2021, bolstered by market optimism and social media sentiment.

The ‘natural evolution’ for Ripple

Ripple CEO Brad Garlinghouse and executive chairman Chris Larsen are highly supportive of the cryptocurrency payment solutions network’s transition towards the public markets.

Garlinghouse has even directly referenced a prospective IPO by Ripple in the past, although the plan never took off.

Garlinghouse said,

“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.”

Buoyed by new investor confidence, Ripple may find itself in a position of power in filing for a public flotation. In the wake of Coinbase’s direct listing, there’s a brand new emphasis on cryptocurrency entities to transition into public markets. While Ripple appears receptive to the idea, it will first need to wait on the final verdict of the SEC lawsuit filed against the company in December 2020, of which the company has already secured a few legal victories.

Despite highlighting a public listing as a ‘natural evolution’ for Ripple, Garlinghouse may be mindful of exercising caution in the wake of Coinbase’s difficult April debut on the Nasdaq, with shares consistently slumping.

The disappointing debut of Coinbase may be an indicator that crypto entities are overpriced in the current market or that investors aren’t yet ready to trust cryptocurrency companies.



Plenty of room for crypto pioneers

Despite a troubled start to life on the public market, Coinbase has paved the way for more crypto pioneers to step up and emerge on Wall Street.

The Coinbase decision to opt for a direct listing provides other companies in the crypto landscape with a vital use case. Santosh Rao, head of research at Manhattan Venture Partners, said that the Coinbase debut offers a “template that other companies will follow.”

Rao added,

“I think you will see a lot more activity in the crypto space in terms of companies going public, use cases, regulators warming up to it. It all depends on Bitcoin, how Bitcoin is doing and how the regulatory landscape is shaping up.”

As Rao rightly points out, much of the future of the crypto market and its validation on Wall Street will heavily depend on the fortunes of Bitcoin. The world’s most famous cryptocurrency has faced a turbulent time in recent weeks as Tesla CEO Elon Musk recently distanced himself from the coin, citing the cryptocurrency’s poor impact on the environment – causing BTC to tumble 13% in a matter of hours.

However, Maxim Manturov, head of investment research at Freedom Finance Europe, notes that the global IPO market has become far more receptive to stocks surrounding technology and other innovative fields.

“The Covid-19 pandemic supplied additional reasons for the retail investment market to grow. To support the economy, most countries adopted stimulating policies, which brought both the loan and deposit interest rates to historic lows.”

“A great number of retail investors buy shares of the companies, which are well-known and highly volatile, and post hundreds of percent market cap gains, yearly. Such investors are often referred to as Robin Hoods – they like investing into technology, biopharma and SPAC companies.”



For many companies like Ripple that are toying with the idea of going public, much of their ambitions will rest on the whims of the highly volatile crypto market and Bitcoin’s ongoing post-halving rally in 2021. With huge levels of new interest entering the marketplace, the rise of the world’s most famous cryptocurrency will be a driving force for widespread acceptance of other companies operating in the same space.

Dmytro Spilka is a tech and finance writer based in London. Founder of Solvid and Pridicto. His work has been published in, IBM, Investment Week, FXStreet, Entrepreneur and FXEmpire.


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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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Forget Hard Fork. What Happens After Keep and NuCypher ‘Hard Merge’?

In brief

  • Keep Network and NuCypher are protocols focused on data privacy.
  • After they networks upgrade and merge into one, token holders will have a new token: T.

Two Ethereum-based protocols, Keep Network and NuCypher, are getting upgrades—into a single network. 

Last week, token holders in the projects voted to merge the protocols, according to an announcement yesterday. Though other projects have collaborated before, such as Yearn Finance and SushiSwap, NuCypher has called this the “first ever decentralized, on-chain network hard merge.”

As its name suggests, NuCypher is all about cryptography. In this case, it’s a way of allowing people to manage who gets access to encrypted data sent over the Ethereum blockchain and when. Keep Network, meanwhile, bills itself as “Ethereum’s first private computer.” Similar to NuCypher, it’s focused on how private data is encrypted, sent, and stored by applications on the Ethereum network.

Since both are layer-2 solutions dealing with privacy infrastructure, those involved in each protocol began broaching a merger in March. Token holders pushed it forward via governance proposals while conversations took place via multiple channels, including open calls and on Discord. 

But how does that work exactly? What happens as KEEP and NU give way to KEANU? (Yes, as in Reeves.)

There’s a total supply of nearly 3.9 billion NU tokens and a max supply of 1 billion KEEP. But the new token will have a supply of 10 billion, with that number to inflate at a rate set by a new decentralization autonomous organization (DAO). KEaNU DAO, composed of all token holders, will be responsible for making decisions about the platform’s direction. 

To get the new token, holders of either will have to wrap them in a smart contract. In goes KEEP and NU…and out comes what’s currently being called “T.” Current KEEP holders get 45% of those 10 billion T tokens, NU holders get 45%, and the DAO gets to determine how to appropriate the remaining 10%.

Theoretically, no one has to give up their tokens. The Keep proposal compared it to upgrading iPhone software: “Anyone with that software is welcome to stay on the old version.”

It’s doubtful that most people will want to keep NU or KEEP, however.

“Since T will be the token used in the upgraded network, I don’t think there’s many reasons for holders not to upgrade, especially since it’s possible to downgrade back to the underlying in the unlikely event something goes wrong,” NuCypher co-founder MacLane Wilkison told Decrypt

He added: “I’m optimistic most exchanges will support the upgrade (although I can’t commit to anything on their behalf).” If they do support the upgrade, they could likely take care of the transition for users.

That will be an important consideration for token holders who have their KEEP and/or NU on an exchange instead of staking it on the platform, where the locked tokens can generate more tokens while helping secure the network. Coinbase announced just yesterday that it would begin listing KEEP, helping the price to double in price in less than a week. It now sits at just under $0.50. Coinbase began listing NU in December.


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Altcoins Could See Major Market Shift if Bitcoin Breaks This Level, According to Nicholas Merten

Altcoins may be about to witness a major market shift if Bitcoin (BTC) breaks a certain level, says closely-followed crypto analyst Nicholas Merten.

In a new strategy session, Merten tells his 461,000 subscribers that the news of El Salvador embracing Bitcoin as legal tender could be the catalyst that sparks a new narrative favoring the world’s flagship crypto asset.



Should Bitcoin regain a stronger narrative, the analyst says he may rotate some capital from altcoins back into BTC.

“We might return back to a much more kind of simple but also exciting narrative of Bitcoin, the gold standard of crypto coming back into the fray and people looking at it as a new emerging store of value. That’s what I think is possibly upon us here, and I got to be honest here, in this case, that’s probably going to mean I’m doing some capital rotations. 

I’m really keen to see what happens here over the next couple [of] days because I think we’re going to get a defining price move in either Bitcoin or altcoins that’s going to really signify if my theory is wrong or that if I’m right in this case, that the trend is about to shift big time.” 

Merten names one crucial price level for Bitcoin where the narrative could start changing and a big market shift could occur between altcoins and BTC. According to him, it may be time to start taking profits on your riskier altcoin holdings if Bitcoin moves above $42,000.

“I think that begins somewhere between $40,000 to $42,000. That’s the contesting range here for price. If you can break beyond that range, and altcoins don’t start outpacing Bitcoin, I would say it’s probably time to run for the hills on those very exponential returns you made on Shiba Inu token if you’re lucky enough to get them.”

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Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

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SEC opens to comments on whether to approve VanEck Bitcoin ETF

The U.S. Securities and Exchange Commission has issued an order allowing the public to comment on the proposed rule change surrounding the Bitcoin exchange-traded fund from asset manager VanEck.

According to a Wednesday filing from the SEC, the regulatory body has not yet reached a decision on whether to approve or disapprove of VanEck’s Bitcoin exchange-traded fund, or ETF, but “seeks and encourages interested persons to provide comments” on the proposal. Specifically, the commission is asking the public to consider whether they believe the Bitcoin ETF would be susceptible to manipulation and designed to prevent fraudulent and manipulative acts and practices.

The SEC also asked people to weigh in on “the suitability of Bitcoin as an underlying asset for an exchange-traded product,” and the liquidity and transparency of the Bitcoin (BTC) market. Existing rules require that national securities exchanges are aimed to “protect investors and the public interest.”

Anyone interested in commenting on the proposed Bitcoin ETF will have until 21 days after the order is published in the Federal Register, and 35 days after publication in the same register for rebuttals. Members of public can submit comments through the SEC website, via email, or snail mail.

Related: SEC pushes decision on VanEck Bitcoin ETF until June

VanEck submitted the paperwork to apply for a Bitcoin ETF with the SEC in March following the asset manager withdrawing a similar application it had filed in January in partnership with blockchain startup SolidX. The commission has already extended the deliberation window once, from May 3 to June 17.

The SEC has the ability to extend the deadline in 45-, 45-, 90- and 60-day increments — up to 240 days — before delivering a final decision. However, under Section 19(b)(2)(B) of the Securities Exchange Act of 1934, the commission also has the right “to determine whether the proposed rule change should be disapproved” prior to any deadline, as is the case in the request for public comment.

No Bitcoin ETF has been approved by regulators in the United States. Given the SEC’s continued delays in the case of VanEck’s, Valkyrie Digital Assets’ and Fidelity Investments’ proposed BTC exchange-traded funds, many do not expect an approval soon. However, Canadian officials have given the green light for many crypto ETFs this year, including offerings from investment fund manager 3iQ, Purpose Investments, Evolve Funds Group and CI Global Asset Management.