Ripple Becomes 4th Largest FinTech Firm Globally

Ripple is now worth $10 billion, making it the fourth-largest financial technology (FinTech) firm in the world.

Out of the 66 FinTech firms that were assessed, the San Francisco-based Ripple was among the top five, coming behind Stripe, Shanghai-based Lufax, and India-based Paytm One97.

In the rating, Stripe is valued at $36 billion, Lufax is worth $39.4 billion, and One97 is valued at $16 billion, a report from CB Insights said.

Stripe, a few weeks ago, acquired one of the biggest FinTech and payment channel PayStack in a deal worth more than $200 million.

Ripple’s digital asset continues to grow

In 2019, Ripple raised $200 million in a Series C funding round, which was spearheaded by SBI Group, Tetragon and Route 66 Ventures.

The company also purchased a $50 million stake in remittance platform MoneyGram, boasting that more than 300 clients using its payments technology to move money across borders.

The company also owns more than half of the total supply of the crypto asset XRP, with a total market cap of $11.6 billion at the time of this report.

XRP is needed to maintain cash flow

In a recent interview with with with Financial Times, the company said if XRP is taken away, the company would be less profitable.

“We would not be profitable or cash flow positive [without selling XRP], I think I’ve said that. We have now,” CEO Brad Garlinghouse was quoted as saying.

In the third quarter of 2020, Ripple disclosed that it has sold $81.39 million in XRP to support its crypto-based remittance platform, On-Demand Liquidity.

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