Evernorth Holdings announced an estimated loss of $380 million due to its XRP holdings, a token that has seen losses in recent months. Its positions are estimated at 473,276,430 XRP, purchased in the $2.40-$2.50 range, with the token currently trading at $1.44.
Evernorth Holdings announced losses of nearly $380 million because its treasury is primarily based on XRP. Its positions are estimated at 473,276,430 XRP, purchased last year at approximately $2.40–$2.50.
This month, XRP is trading at around $1.44, leaving an estimated unrealized loss of approximately $380 million and implying that a rally of approximately 70% would be required to return to the firm’s average cost of ownership.
Evernorth is following a “Permanent Treasury Allocation Model” that emphasizes accumulation over short-term trading. To maintain a balanced treasury, Evernorth is focused on allocating loans to other institutions, providing liquidity, and generating returns.
Strategy, IPO plans, and what’s next for Evernorth
Evernorth plans to go public in the first quarter of 2026 following a SPAC merger with Armada Acquisition Corp. II, with the planned Nasdaq ticker symbol XRPN. This listing is intended to create a regulated channel for investors seeking direct exposure to the company’s XRP treasury.
One of the key points is that the IPO is expected to raise over $2 billion, which would catapult the price of XRP to a range of $4.20 to $5.10, resulting in a significant boost to the company’s treasury. However, there are also less optimistic scenarios for Evernorth and the future of XRP.
It’s important to note, however, that the current scenario shows a recent drop in XRP to lows not seen since November 2024, pressure from broader risk-aversion sentiment in crypto, and technical analysts pointing to breached support levels. These dynamics underscore the short-term sensitivity of any concentrated treasury to price movements.
The immediate implication for market participants is twofold: Evernorth’s concentrated stake amplifies demand sensitivity to any capital raising or acquisition program, and the firm’s planned IPO in the first quarter of 2026 will be a critical test of whether inflows from the public market can change the demand dynamics for XRP.
Investors and counterparties should monitor the SPAC process, the size of any post-listing capital raise, and the firm’s reported yield-generating performance to assess how Evernorth’s balance sheet strategy interacts with XRP price discovery.
