XRP Today News: $1 Billion SPAC Listing, Evernorth Builds Largest Reserve Vault

XRP today's news shocks the market, as the digital asset company Evernorth Holdings, linked to Ripple Labs, announced plans to go public through a merger with the Nasdaq-listed special purpose acquisition company (SPAC) Armada Acquisition Corp. II, expecting to generate over $1 billion in total revenue.

Evernorth SPAC transaction details and investor lineup

(Source: X)

The core of this XRP news today lies in the merger plan between Evernorth Holdings and the Nasdaq-listed SPAC Armada Acquisition Corp. II, aimed at meeting the growing institutional demand for publicly traded digital asset financial companies. This transaction is expected to generate over $1 billion in total revenue, indicating a growing interest from institutions in digital assets.

The lineup of investors is extremely luxurious, with a particularly notable investment of 200 million USD from Japan's SBI Holdings. SBI has a long-standing relationship with SoftBank, and its participation provides strong financial and strategic support for Evernorth's XRP asset pool plan. In addition, the company stated that Ripple, Pantera Capital, and GSR are expected to provide additional support.

Strategic Significance of the Investor Lineup:

SBI Holdings: One of Japan's largest financial groups, deeply engaged in the Asian market, with a long-term partnership with Ripple.

Ripple Labs: The creator of XRP, directly involved in demonstrating support for the Evernorth strategy.

Pantera Capital: One of the earliest institutional investors in the cryptocurrency space, managing billions of dollars in assets.

GSR: A professional market maker that ensures liquidity management in the operation of the XRP asset pool.

After the merger is completed, the merged company is expected to trade on NASDAQ under the stock symbol XRPN. The choice of this stock symbol itself is a strong brand statement, directly linking the company with XRP, allowing investors to gain exposure to XRP through the traditional stock market.

The Revolutionary Significance of the XRP Asset Pool Strategy

Asheesh Birla, the CEO of Evernorth, stated that against the backdrop of growing interest in decentralized finance (DeFi), new investment tools aim to “accelerate the adoption of XRP” and provide investors with a public market avenue to access XRP and related digital asset strategies. This strategy is of landmark significance in today's news regarding XRP.

Evernorth stated that this funding will be used to create one of the largest XRP asset pools in the world, by purchasing digital assets in the open market. This strategy is similar to Michael Saylor's strategy regarding Bitcoin, but focuses on XRP. This move could make Evernorth one of the first publicly traded companies to anchor its balance sheet with XRP, indicating a growing interest from institutions in digital assets.

Earlier reports indicated that Ripple Labs plans to raise approximately $1 billion through the sale of XRP, combining newly acquired tokens with some existing assets to establish its own digital asset vault. Additionally, Ripple recently agreed to acquire the enterprise financial management platform GTreasury, with a transaction value of around $1 billion, aimed at expanding its corporate liquidity and payment infrastructure. These actions create synergies with Evernorth's strategy.

At the same time, other companies, including VivoPower, have also launched digital asset strategies focused on XRP, highlighting the growing interest of institutions in the token. This trend indicates that XRP is transforming from an asset dominated by retail investors to an institutional-grade allocation target.

The Rise and Background of Digital Asset Trust (DAT) Strategy

(Source: BitcoinTreasuries)

Evernorth's initiative to build a digital asset treasury is not an isolated case. Just this year, dozens of companies have emerged with similar ambitions, incorporating cryptocurrencies as part of their corporate balance sheets. This move can largely be traced back to Michael Saylor's strategy, which is the first large publicly traded company to adopt Bitcoin as its primary treasury reserve asset—this position has now grown to nearly 700,000 BTC.

Currently, over 200 listed companies hold Bitcoin on their balance sheets. While most companies are not specialized digital asset financial firms, many hold Bitcoin to gain market exposure. In addition to Bitcoin, corporate financial strategies have expanded to include assets such as Ethereum, Solana, and Ethena, as companies explore digital assets with strong growth potential.

Evernorth chooses to focus on XRP rather than Bitcoin or Ethereum, demonstrating its confidence in XRP's unique value proposition. XRP's fast settlement (3-5 seconds) and low transaction fees (typically below $0.01) give it a technological advantage in cross-border payments and enterprise liquidity management. Furthermore, the settlement of the SEC lawsuit provides clarity on XRP's compliance in the U.S. market, reducing regulatory risks.

However, this strategy also faces challenges. From a financial perspective, allocating a large amount of assets to a single cryptocurrency poses concentration risk. If the price of XRP drops significantly, Evernorth's balance sheet will bear a direct impact. In addition, compared to Bitcoin, XRP's market acceptance and institutional adoption still have gaps, which may affect the long-term sustainability of the asset pool strategy.

Market Doubts and Controversies Over Digital Asset Vaults

Not everyone is fully convinced about the digital asset treasury strategy. The CEO of a cryptocurrency venture capital firm stated that the digital asset financial strategy still faces skepticism from traditional finance, which he believes remains an obstacle to broader institutional adoption. The traditional finance sector is cautious about using highly volatile crypto assets as corporate reserves.

David Bailey, the CEO of the Bitcoin fund management company Nakamoto, believes that the poor performance of altcoins has undermined confidence in broader digital asset fund management models. “Toxic financing, failed altcoins being repackaged as DAT, and too many failed companies without planning or vision. This completely confuses the entire narrative,” Bailey said.

These criticisms point to the core risks of the digital asset custody strategy. Many companies adopt cryptocurrency asset strategies merely due to market enthusiasm, without a clear business model. When the market turns bearish, these companies may face financial difficulties. Whether Evernorth's strategy can succeed depends on its ability to establish real business use cases, rather than just holding XRP and waiting for appreciation.

In addition, the Democratic Party recently proposed a “restricted list” for DeFi protocols, sparking strong protests. This regulatory uncertainty could affect the operating environment of digital asset custody companies. Although Evernorth obtained XRP after settling the SEC lawsuit, a broader cryptocurrency regulatory framework is still being formed, and future policy changes could bring additional risks.

Despite the skepticism, Evernorth's $1 billion SPAC listing plan still represents a significant vote of confidence from institutions in XRP. The participation of SBI, Ripple, Pantera Capital, and GSR indicates that mainstream finance and crypto-native institutions recognize the potential of the XRP asset pool strategy. This news could mark a critical turning point for XRP from retail dominance to institutional adoption.