Evernorth seeks permission to give investors XRP exposure in a corporate structure, at a time when a Chainlink representative accuses Ripple of prioritizing its shareholders’ interests over the XRP holders’ interests.
XRP Treasury, Evernorth, filed a registration statement with the Securities and Exchange Commission (SEC) to build a public company. With the establishment of the new public company, Evernorth seeks to ‘provide investors with transparent exposure to XRP through a regulated corporate structure,’ stated Evernorth’s official blog post.
Evernorth announces this initiative in time-lapse, where Chainlink community liaison Zach Rynes accuses Ripple of prioritizing its owners and shareholders above the XRP holders.
Evernorth Holdings, Inc., an XRP treasury company, filed a registration statement on Form S-4 with the U.S. SEC to proceed with its intention of a business combination. The treasury previously announced a business combination with Armada Acquisition Corp. II, which is a special purpose acquisition company sponsored by Arrington Capital.
A special purpose acquisition company is a “blank check company” that is created for the purpose of raising capital through an IPO (initial public offering) without having any commercial operations yet. Its main goal is to acquire or merge with an existing private company, helping that company go public more quickly than through a traditional IPO.
Chainlink liaison slings mud at Ripple
“Evernorth is being built to participate in that evolution. Our focus is on combining public-market discipline with XRP blockchain-based financial infrastructure to help shape a more transparent, efficient, and connected global financial system,” said Asheesh Birla, founder and CEO of Evernorth.
Chainlink community liaison Zach Rynes stated in an X post, “By owning $XRP, you are funding a company that has openly stated it will prioritize its equity shareholders over you.”
Rynes further accused Ripple of using the proceeds of XRP sales to acquire real companies and fund Ripple Labs stock buybacks, to the sole benefit of Ripple Labs shareholders, while creating no value for the XRP token.
This statement stirred up a big argument across the two communities. The LINK Marines and the XRP Army went at each other, back and forth.
The treasury company story feels done. For most late entrants, it is not a real business model, it is just narrative packaging around a token. That is especially true for XRP, where Ripple’s own strategic focus seems to be shifting more toward RLUSD and other business lines than toward expanding direct XRP usage. So when this lands right after Ripple’s buyback, token holders are right to question whether the value is being built for XRP or being captured somewhere else.
Analyst Lavneet Bansal
XRP breaks out from 6-month-long downtrend
Meanwhile, XRP has broken out from a falling wedge after nearly 6 months. Not only did XRP break above the wedge, but it has also broken above the 50-day moving average.
But the sellers were fast to pounce on the opportunity, taking profits. With the selling pressure, XRP prices could not rise higher; as such, now the prices are being supported at the 50-day MA support.
