US-based healthcare firm Welgistics Well being has introduced plans to make use of XRP not solely as an funding automobile but in addition as a fee instrument and profit-generating mechanism. Paperwork filed with the US Securities and Change Fee (SEC) by the corporate point out that XRP has been built-in into its enterprise mannequin.
Ripple advocate and lawyer Invoice Morgan commented on the SEC doc, saying, “This S-1 submitting lays out a method to combine XRP not simply as an asset however into the corporate’s monetary and operational construction.” Based on Morgan, Welgistics Well being goals to make the most of the XRP Ledger infrastructure to course of transactions with pharmacy clients and manufacturing and distribution companions in an economical and real-time method. This initiative is cited for example of the real-world use of XRP in business-to-business funds.
The identical doc additionally outlines the corporate’s plans to lift funds by way of the issuance of inventory or bonds sooner or later and use these funds to buy further XRP. The corporate intends to make use of the acquired XRP as collateral to lift funds and revenue from XRP-based transactions. Invoice Morgan commented on this as “an instance of how XRP can transcend being a mere funding automobile and performance as a method of fee and collateral.”
Nevertheless, these statements have sparked blended reactions throughout the cryptocurrency neighborhood. Whereas XRP supporters see the initiative as a optimistic use case, some consultants have expressed skepticism in regards to the firm’s monetary construction. Former securities lawyer Mark Fagel identified that Welgistics Well being’s precise property are restricted and that its latest monetary studies embrace a “proceed working” warning. There has additionally been criticism that XRP may very well be used as a advertising software.
*This isn’t funding recommendation.
