US-based healthcare company Welgistics Health has announced plans to use XRP not only as an investment vehicle, but also as a payment vehicle and a mechanism for generating profits. The Company’s documents filed with the Securities and Exchange Commission (SEC) indicate that XRP is integrated into its business model.
Bill Morgan of Ripple Advocate commented on the SEC document, saying, “This S-1 filing laid out a strategy to integrate XRP not just as an asset, but into the company’s financial and operational structure.” According to Morgan, Welgistics Health aims to leverage XRP ledger infrastructure to handle transactions between pharmacy customers and manufacturing and distribution partners in a cost-effective, real-time manner. This initiative is cited as an example of the actual use of XRP in business-to-business payments.
The same document also outlines the company’s plans to raise funds through future stock or bond issuances and use these funds to purchase additional XRP. The company intends to use the acquired XRP as collateral to collect funds and profits from XRP-based transactions. Bill Morgan commented on this as “an example of how XRP can go beyond being a mere investment vehicle and act as a means of payment and collateral.”
However, these statements sparked a mixed reaction within the cryptocurrency community. While XRP supporters view the initiative as a positive use case, some experts have expressed skepticism about the company’s financial structure. Former securities attorney Mark Fargel noted that Welgistics Health’s actual assets are limited and that recent financial reports include “continuous operation” warnings. There have also been criticisms that XRP can be used as a marketing tool.
*This is not investment advice.
