Why XRP is rising: Ripple denies Circle bid as stablecoin rollout expands

XRP has surged to $2.25 in early June, reigniting bullish forecasts from analysts and retail traders alike.

With Ripple’s regulatory clarity improving, its stablecoin RLUSD advancing, and speculation over an acquisition of Circle making headlines, XRP is once again at the centre of the crypto conversation.

However, Ripple’s CEO has now dismissed any suggestion that the firm sought to acquire Circle, the company behind USDC.

The denial could shift focus back to Ripple’s organic stablecoin strategy, as investors weigh the implications for XRP’s future.

Ripple CEO addresses Circle acquisition claims at Las Vegas event

Brad Garlinghouse, CEO of Ripple Labs, publicly dismissed speculation of an acquisition bid for Circle while speaking at a Las Vegas conference.

The event, moderated by Georgetown Law professor Chris Brummer, provided a platform for Ripple to confront weeks of reporting that alleged a multibillion-dollar offer had been made.

Brummer later confirmed in a post on X (formerly Twitter) that Garlinghouse was unequivocal in his denial.

The professor said there was no indication that Ripple had ever made an offer—neither a $10 billion bid, as one attendee speculated.

Another outlet reported that Circle had turned down the bid because it undervalued the company, though no documentation supported this version of events.

Garlinghouse’s statements appear to draw a line under these claims, redirecting attention to Ripple’s internal growth plans and product expansion.

RLUSD stablecoin rollout may shift Ripple’s strategy

Much of the acquisition speculation stemmed from Ripple’s increasing involvement in the stablecoin space. In December 2024, the New York Department of Financial Services (NYDFS) approved Ripple’s own US dollar-backed stablecoin, RLUSD.

RLUSD is designed to function across both the XRP Ledger and Ethereum networks, signalling Ripple’s intention to integrate with broader decentralised finance ecosystems.

The native dual-chain compatibility has positioned RLUSD as a strategic move to compete in the growing market of asset-backed stablecoins.

Industry watchers had suggested that acquiring Circle would provide Ripple with an instant share of the market through USDC’s established footprint.

However, the outright denial of a Circle acquisition suggests Ripple may be relying on RLUSD’s gradual adoption rather than accelerating its market share through consolidation.

The company’s recent acquisition of digital asset infrastructure firm Hidden Road also indicates Ripple is building capabilities internally rather than pursuing large-scale mergers.

XRP price prediction models flash bullish amid reduced uncertainty

The XRP price rise to $2.26 coincides with a broader wave of optimism surrounding Ripple’s trajectory. Traders have pointed to increased clarity from regulators in key jurisdictions and Ripple’s expanding utility as contributing factors.

According to on-chain analysts, the combination of native stablecoin support and cross-border transaction features gives XRP renewed relevance, especially as Ripple’s focus shifts towards real-world asset tokenisation and settlement.

While the failed acquisition rumour initially introduced volatility, Garlinghouse’s denial appears to have settled market sentiment, allowing XRP to consolidate its gains.

That clarity may explain the uptick in XRP price prediction models that now suggest further upside potential if adoption of RLUSD gains momentum across DeFi protocols.

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