Evernorth Holdings Inc., a Nevada-based firm focused on facilitating institutional adoption of Ripple (XRP), has launched its operations in collaboration with Armada Acquisition Corp II, a publicly traded SPAC.

The merger is expected to generate over $1 billion in gross proceeds, which will help in forming a unique institutional treasury for XRP. The funds include $200 million from SBI and investments from Ripple Labs and Rippleworks, along with support from notable investors like Pantera Capital, Kraken, and GSR.

Once the merger is finalized, the new entity is projected to operate under the Evernorth brand and trade on Nasdaq, utilizing the ticker symbol “XRPN”.

Overview of Evernorth’s XRP Treasury Strategy

According to the report, the primary goal of the raised capital is to acquire XRP on the open market and develop a substantial institutional treasury. Aside from treasury operations, part of these proceeds will be allocated for working capital and transaction costs.

In contrast to a standard passive ETF, Evernorth aims to increase its XRP holdings by actively engaging in institutional lending and Decentralized Finance (DeFi) yield opportunities.

In the words of CEO Asheesh Birla:

“Evernorth is designed to provide investors more than just exposure to XRP’s price. As we leverage existing traditional finance yield generation strategies and explore DeFi yield opportunities, we also contribute to the evolution and growth of that ecosystem. This approach aims to generate returns for shareholders while boosting XRP’s practical utility and adoption.”

Institutional Bets on XRP

Recently, VivoPower International raised $19 million to bolster its XRP treasury strategy, showcasing the growing institutional interest in XRP. The funds will be used to reduce debt and enhance company holdings in XRP.

Furthermore, VivoPower has partnered with Doppler Finance for a significant $30 million XRP deployment, with plans to allocate $200 million into this strategy. Additionally, the firm has also been utilizing Ripple’s RLUSD stablecoin for efficient cross-border payments.

Tags: Evernorth (XRP)

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