Ripple Begins Buying Back Shares at $50 Billion Valuation: Bloomberg

Crypto financial services firm Ripple has commenced buying back up to $750 million in shares from employees and investors at a $50 billion valuation, according to a report from Bloomberg, citing sources familiar with the XRP-linked company’s plans.

The report says that the offer is expected to run through April. A person familiar with the matter confirmed the valuation and the start of the share buyback program to Decrypt.

The $50 billion valuation would represent a 25% boost in the value of the company from its latest fundraising round, when it raised $500 million at a $40 billion valuation in November. That round included participation from affiliates of Citadel Securities, Fortress Investment Group, and Brevan Howard. 

At the time, the firm said its decision to raise additional funds reflected “the strategic value of deepening relationships with financial partners whose expertise complements.”

Just a few months later, it’s looking to recoup some of its outstanding equity as it creates a path to a potential $1 trillion valuation—a feat that CEO Brad Garlinghouse recently said he thinks is achievable for the firm. 

“There will be a trillion-dollar crypto company, I don’t doubt that for a second,” said Garlinghouse during a XRP community event held on X in February. “I think Ripple has the opportunity, if we do things well in partnership with the overall XRP ecosystem, to be that company.” 

The Ripple frontman said his firm, whose founders created the prominent crypto token XRP, has a clear focus on propelling the XRP ecosystem, calling the token his firm’s “north star.” 

The token made a new all-time high of $3.56 last July after seven years of trading below $3.00. But since that time, it’s been dragged down considerably alongside the rest of the crypto market, dipping nearly 62% to recently change hands around $1.40. 

Nevertheless, the token remains the fifth-largest crypto asset by market capitalization. Ripple too remains one of crypto’s largest firms, having greatly expanded its services and capabilities through major acquisitions in the last year. 

Last year, Ripple spent $1.25 billion to acquire prime brokerage Hidden Road in April, followed by a $1 billion acquisition of treasury management firm, GTreasury. It also spent $200 million on stablecoin platform Rail, while its own stablecoin—RLUSD—has grown to a $1.57 billion market cap, according to data from DeFiLlama.