The shares of Ripple, the company that develops the infrastructure of XRP, are allegedly traded at $ 2-3 billion in secondary markets.
However, the value of Ripple’s XRP savings is estimated at $ 70 billion, a number that is much higher than the value of the company’s shares.
Returns over last year…
Cardano $ THERE: +3,290%
BinanceCoin $BNB: +3,058%
Polkadot $DOT: +1,353%
Ethereum $ ETH: +1,171%
Uniswap $UNI: +953%
Chainlink $LINK: +875%
Bitcoin $ BTC: +728%
XRP $ XRP: +532%
Litecoin $LTC: +406%
Bitcoin Cash $BCH: +161%
US Dollar Index $USD: -8%
— Charlie Bilello (@charliebilello) April 10, 2021
Galaxy Digital CEO Michael Novogratz, stated that:
“Ripple shares are traded at $ 2-3 billion in the secondary market. The value of XRP on their balance sheet is about $ 70 billion. One of the prices looks wrong.
XRP still not worth enough?
According to cryptocurrency researcher Leonidas Hadjiloizou, it’s unlikely that the locked XRPs on Ripple’s balance sheet will be priced in Ripple shares.
Researcher, stated that:
“The $ 62 billion worth of XRP on Ripple’s balance sheet is kept locked. On the other hand, the SEC has also targeted Ripple’s XRP sales, so it is possible to say that the market is not pricing Ripple’s XRP savings.”
XRP rose above $ 1 and continued the rally over the weekend, despite the ongoing litigation between the U.S. Securities and Exchange Commission (SEC) and Ripple.
XRP has gained 160 percent since April 1, rising from $ 0.57 to $ 1.49.
What’s behind the XRP rally?
Most of the company’s legitimate victories are behind the 160 percent rally. Ripple’s lawyers gained access to the SEC’s internal discussions on cryptocurrencies, and the court denied the SEC’s request to disclose the Ripple executives’ financial records.
While Bitcoin (BTC) is consolidating, altcoins starting to rally may have also triggered the rise in XRP price.