Ripple CEO Denies $5 Billion Circle Acquisition Rumors
- Ripple CEO denies acquisition rumor for Circle amid market speculation.
- Ripple seeks strategic growth through infrastructure, not acquisitions.
- XRP market stabilizes; Circle IPO plans proceed unaffected.
Ripple Rejects $5 Billion Circle Acquisition Claims
Brad Garlinghouse, CEO of Ripple, dismissed rumors of acquiring Circle, indicating there was no $5 billion bid. These comments were made during his speech at the XRPLasVegas conference.
The rumors involved Circle, issuer of USDC, a major stablecoin. Both Ripple and Circle, which stressed it is “not for sale,” denied any negotiations had occurred.
XRP Market Stabilizes Amid Acquisition Denial
Ripple’s official denial calmed XRP market volatility that was spurred by acquisition speculation. Circle’s valuation as part of their upcoming IPO remained unaffected.
Financial impact was minimal as no funds were involved in the allegedly reported deal. Ripple redirected its focus towards enhancing its RLUSD stablecoin infrastructure.
Stablecoin Deals Rarely Materialize Due to Regulations
In the past, crypto acquisition rumors, particularly involving stablecoins, have seldom materialized due to regulatory challenges. Past events like Coinbase’s interactions with Circle highlight the strategic value of such assets.
Given historical trends, the emphasis on stablecoin utility over acquisition aligns with Ripple’s infrastructure focus. Experts predict continued market stabilization for XRP and organic growth for RLUSD.
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