at recent days Power pointLinda B. Jones, a former Wall Street financial expert and author of “3 Steps to Quantum Wealth: A Rich Heiress’s Guide to Financial Freedom Through Cryptocurrency Investing,” outlined her bullish outlook for Ripple, drawing on a valuation comparison with Coinbase and the potential of XRP.
Why Ripple May Be Significantly Undervalued
Jones began by pointing out Ripple’s current valuation on investment platform Linqto at $7.5 billion — a stark contrast to its 2020 and 2022 valuations of $10 billion and $15 billion, respectively. Those numbers were set during Ripple’s Series C buyback phases. She emphasized the point by saying, “It’s surprising to me that this valuation is so low. That’s good for us as investors, right?”
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The financial expert used Coinbase’s IPO as a benchmark for Ripple’s potential entry into the market. She highlighted that when Coinbase went public in 2021, at the height of the crypto market’s bull run, it was valued at $86 billion. Given this comparison, Jones claimed that if Ripple went public with the same market reception, it would return 11x based on its current valuation.
Adding another layer to her valuation model, Jones discussed Ripple’s massive holdings of XRP. Ripple currently has 48 billion XRP in escrow, worth roughly $29 billion at the current market price of $0.61 per XRP. “Ripple doesn’t have it on their books right now. They don’t value it. They don’t give any value to XRP. They do sell it, and they make money selling it,” Jones noted.
She suggested that future changes in accounting standards could allow cryptocurrencies like XRP to be included on balance sheets, which would further boost Ripple’s valuation: “Joe (Endoso, CEO of Linqto) and I believe that accounting standards will change and allow a company that has cryptocurrency to be able to include it on its balance sheet in the future.”
Valuing Ripple’s potential IPO alongside XRP’s current market cap, Jones estimated a total valuation of $115 billion, indicating a potential return on investment of 15x from current levels. Furthermore, if XRP were to return to its all-time high of $3.59, seen in 2017, she suggested Ripple’s total valuation could reach $150 billion, which would be a 20x increase from its current valuation on Linqto.
Jones pointed to XRP’s historical price action from 2017, which saw a massive 60,000% increase in just 248 days. “We’re repeating that pattern now. We’re at the tip of the wedge,” she explained, suggesting a potential repeat of these dynamics.
Jones highlighted the strategic silence on client agreements and other news, and hinted at major unannounced partnerships with major companies like Amazon and Apple, which could further boost Ripple’s position if confirmed.
“This is without a settlement with the SEC. This is without crypto laws. This is without announcing an IPO. This is without an ETF. This is without any disclosure of the customer agreements that Ripple has in place because they have had to be very tight-lipped about it. We believe they have agreements with Amazon and Apple,” Jones said.
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She concluded her presentation by emphasizing the promising value for investors who are currently investing or considering investing in Ripple or XRP. “So we have all sorts of blue skies ahead in terms of the potential for XRP and Ripple. So I just want to point out the great value that it represents for those of us who are already invested. But it’s still available on the Linqto platform as of today,” she concluded.
At the time of publishing this report, XRP was trading at $0.60.
Featured image created using DALL E, chart from TradingView.com