Ripple's Offer of $5 Billion Was Rejected by Circle, According to Bloomberg Report
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Ripple made a pretty bold move with a $5 billion bid to snag USDC issuer Circle, but alas, their offer fell flat - too low 'em, it seems. Insiders spilled the beans to the news wire about the deal valued between $4-$5 billion, but Ripple's yet to lay a follow-up offer on the table.
Ripple's eyeing the $239 billion stablecoin market, dreaming big with its RLUSD stablecoin launch in December. But it's still a small fish in this pond, with RLUSD's market cap lurking at just $317 million compared to USDC's whopping $61.5 billion.
And here's something juicy: Circle, issuer of the second most-capitalized stablecoin, filed for an Initial Public Offering (IPO) just a month ago. Looks like Ripple's plan is to flex its expansion muscles, leaving its legal spat with the US Securities and Exchange Commission (SEC) in the dust. Earlier this year, Ripple snagged prime broker Hidden Road for a cool $1.25 billion, a move meant to boost XRP adoption and maximize the XRP Ledger's potential.
Speaking of XRP, Bloomberg analyst Eric Balchunas reckons there's an 85% chance that a spot XRP ETF will win the SEC's seal of approval this year, following recent rapid-fire nods for XRP futures ETFs. These developments send XRP's token skyrocketing, lately.
In a nutshell: Ripple's aggressively expanding beyond its SEC spats, bagging Hidden Road for $1.25 billion and fancying its chances with XRP ETFs. But its big-money offer to Circle was a no-go, leaving Ripple to rethink its consolidation plans within the crypto sector.
- Atkins, an investor interested in finance and technology, might consider the potential growth of Ripple's RLUSD stablecoin, valued at around $317 million, as it aims to enter the $239 billion stablecoin market.
- With Circle, the issuer of the second most-capitalized stablecoin, filing for an Initial Public Offering (IPO), it remains to be seen if this move will encourage rival companies like Ripple to follow suit.
- In the world of business and investing, it's interesting to note that while Ripple made a $5 billion bid to acquire Circle, the offer was rejected, leaving Ripple to reconsider its approach to consolidation within the crypto sector.
- As Ripple looks to bolster its expansion efforts, the success of upcoming developments such as the possible approval of a spot XRP Exchange Traded Fund (ETF) by the US Securities and Exchange Commission (SEC) could significantly impact the value of XRP, potentially driving more interest in Ripple's activities in the finance and technology sector.
