Nasdaq-Listed Company Discloses XRP Reserve Fund – But Doubts Remain

Welgistics Health, a healthcare company based in the United States, has announced plans to use XRP not only as an investment vehicle but also as a payment tool and a profit-generating mechanism. The documents submitted by the company to the Securities and Exchange Commission (SEC) show that XRP has been integrated into their business model. Ripple's lawyer and supporter, Bill Morgan, commented on the SEC's document as follows: "This S-1 filing outlines the strategy of integrating XRP not only as an asset but also into the financial structure and operations of the company." According to Morgan, Welgistics Health aims to utilize the XRP Ledger infrastructure to efficiently process transactions with pharmacy customers, manufacturing and distribution partners in a cost-effective and real-time manner. This initiative is seen as an example of using XRP in business-to-business payments in practice. This document also outlines plans to raise funds through the issuance of shares or bonds in the future and to use this money to purchase additional XRP. The company intends to use the XRP obtained as collateral to raise capital and benefit from XRP-based transactions. Bill Morgan commented on this as "an example of how XRP can transcend its role as a mere investment vehicle and function as a payment method and collateral asset." However, these statements have caused mixed reactions in the cryptocurrency community. While XRP supporters see this initiative as a positive application, some experts express skepticism about the company's financial structure. Former securities attorney Mark Fagel points out that Welgistics Health's actual assets are limited and the company's recent financial reports come with a "going concern" warning. There are also criticisms that XRP could be used as a marketing tool.