Today, we reported on a tremendous amount of buzz forming around the upcoming dLocal IPO. Accordingly, investors interested in this offering may also be considering this move as a key piece of Ripple (XRP) crypto news.
Why is that?
Well, dLocal happens to be a Ripple client. For those unfamiliar, Ripple is the payments firm behind the red-hot XRP (CCC:XRP-USD) cryptocurrency. It also facilitates cross-border payments.
This is where the dLocal IPO comes in. dLocal’s business model of providing cross-border payments services to its clients runs on RippleNet. Indeed, Ripple is one of those unique cryptocurrencies in that it actually has the potential to create value via its built-for-business design. I’ve been bullish on Ripple in the past for this reason alone.
However, seeing dLocal’s success brings Ripple’s value to light. The potential for dLocal to raise more than $600 million in an upcoming public offering has to be exciting for Ripple investors. Indeed, dLocal’s high-profile client base including the likes of Amazon (NASDAQ:AMZN), Microsoft (NASDAQ:MSFT) and Spotify (NYSE:SPOT) speaks to this. These clients essentially validate dLocal’s RippleNet-based business model.
These are certainly exciting times. Accordingly, let’s take a closer look at what the dLocal IPO means for Ripple investors.
Why the dLocal IPO Is Big Ripple (XRP) Crypto News
The upcoming dLocal IPO has brought about a lot of interest from non-crypto investors in this crypto-based business. For those banking on a paradigm shift among what’s viewed as “investable” in the crypto world, this is a big step.
The fact that dLocal could be viewed as a quality investment opportunity by traditional investors is something that should be cherished by crypto enthusiasts. Once a fringe investment, crypto is becoming mainstream. Indeed, for those holding XRP, this news is particularly sweet today.
Certainly, dLocal’s business model of providing low-cost cross-border payment services to mega-cap customers is impressive. There’s real utility being created by dLocal. And the key takeaway investors should remember is this value couldn’t have been created without Ripple and RippleNet.
It’s okay to be skeptical of the crypto space today. Indeed, it’s an over-hyped, speculative space to invest in right now. However, there are pockets of investable value. Accordingly, Ripple and dLocal investors are hoping the broader market sees this IPO the same way.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
