SBI Holdings, a major Japanese financial conglomerate, has disclosed that it will not factor in the value of its XRP holdings tied to Ripple’s escrow until either an IPO occurs or a credible third-party valuation is made.
SBI's Fiscal Results for 2025
SBI Holdings reported a significant increase in financial results for the fiscal year ending March 31, 2025. Total revenue increased by 19.3% year-over-year, reaching ¥1.44 trillion. Profit before taxes saw a sharp rise of 97.4% to ¥282.3 billion, while net profit attributable to shareholders climbed to ¥162.1 billion, an 85.8% increase compared to the previous year.
Ripple's IPO Potential
While Ripple has not confirmed any immediate plans to go public, CEO Brad Garlinghouse previously mentioned that an IPO could be considered as early as late 2025 or 2026, depending on improvements in the regulatory environment. SBI's long-standing relationship with Ripple includes several strategic initiatives.
SBI's Strategy in Digital Assets
SBI emphasizes that its current valuation of Ripple holdings remains conservative. Following a market-based valuation, the XRP assets linked to SBI could exceed ¥1 trillion, enhancing the company's digital asset portfolio.
SBI Holdings demonstrates a cautious approach to accounting for its XRP holdings, highlighting the importance of transparency and strategy in managing digital assets. An IPO for Ripple could significantly affect SBI's financial performance.
