Ripple, Valued at $11.3 Billion, Will Make a $285 Million Buyback! - Coin Newsletter

Ripple Labs will buy back $285 million worth of shares from the company's initial investors and employees

According to a Jan. 10 report by Reuters, Ripple Labs, the company behind Ripple, has announced that it will buy back hundreds of millions of dollars worth of shares given to its initial investors.

While the company was valued at $11.3 billion**, the sources, who did not want to be named, added that investors were only allowed to sell up to 6% of their shares. The move aims to provide $285 million of liquidity to its investors and shareholders without currently conducting an IPO.

Ripple CEO Brad Garlinghouse said in a statement that the firm has more than $1 billion in cash and more than $25 billion in cryptocurrency. The CEO also stated that they have no intention of going public in the US anytime soon.

The buyback decision is said to be an impact of the positive results of the legal battle with the U.S. Securities and Exchange Commission (SEC).

Ripple CTO David Schwartz said that there are only two options for the 40 billion XRP under the control of the company, which the CEO also mentioned.

According to data from CoinGecko, XRP is positioned as the 6th largest cryptocurrency with a value of 32 billion dollars. At the time of writing, XRP is trading at $0.592, up 4.8% in the last 24 hours.