Evernorth has received approval from the U.S. Securities and Exchange Commission for its registration filing, bringing the Ripple-backed XRP treasury company closer to a Nasdaq debut. The firm now needs shareholder approval before it can proceed with a listing under the XRPN ticker.

Based in San Francisco, Evernorth was established to create a publicly traded company with XRP as its primary treasury asset. The SEC’s clearance removes a major regulatory obstacle, leaving a shareholder vote as the next critical step.

The company plans to enter the public market by combining with Armada Acquisition Corp. II, a special-purpose acquisition company (SPAC). Armada was formed to raise investor funds and use them to acquire a private company, allowing the target to become publicly traded through a merger rather than a standard IPO.

Armada shareholders are scheduled to vote on the proposed deal on Sept. 30. If they approve the transaction, the resulting company is expected to trade on Nasdaq under XRPN. Evernorth has indicated that the merger could close in late September or October.

The XRP treasury firm has attracted investment from several established crypto names. Ripple is among its backers, together with Arrington Capital, Japan’s SBI Group, Pantera Capital, Kraken and GSR.

Evernorth was founded by Asheesh Birla, who also serves as CEO. Birla previously spent more than 10 years at Ripple, where he led the company’s payments operation before departing.

Evernorth Plans Active XRP Treasury Strategy

Crypto treasury companies have generally followed the model popularized by Strategy: choose one digital asset, accumulate it and hold it on the corporate balance sheet.

Evernorth says it intends to go beyond simply holding XRP. The company plans to invest in infrastructure supporting the XRP ecosystem and manage its treasury in an effort to increase the amount of XRP represented by each share over time.

However, the firm has not disclosed the specific strategy or financial mechanisms it will use to increase XRP exposure on a per-share basis.

The approach also faces a challenge common among digital-asset treasury companies. Their market valuations can move above or below the value of the crypto assets they hold. When shares trade below net asset value, raising capital through additional stock issuance becomes considerably more difficult.

Several Bitcoin treasury companies have recently faced that situation, trading below the value of their reserves and limiting the effectiveness of the equity-financing model.

Meanwhile, XRP has continued to post strong gains. The token was trading near $1.41 on Thursday, representing an increase of more than 27% over the past week.