XRP DATs Are Out here Flexing on ETFs: Ex-Ripple Exec Says Treasury Playing Chess While ETFs Still Playing Checkers

XRP digital asset treasuries are making the rest of the crypto investment world uncomfortable—and honestly, we get it. While ETFs sit there looking all institutional and legitimate, DATs are out here actually doing things. Insiders are starting to whisper (or shout) that these things might be the smarter play, and honestly, the ETF gang looks a little uninspiring right about now.

Sagar Shah, Evernorth Holdings' BDO and former Ripple executive, recently made the case that XRP digital asset treasuries (DATs) offer more than just a passive wrapper around the token. He's basically saying ETFs are the crypto equivalent of ordering a salad when there's a steak dinner available. There's been over $1 billion in net inflows into XRP ETFs, which—don't get us wrong—is impressive. But Shah isn't impressed enough to stop talking about it. It tells you that institutions want exposure, but ETFs are a passive wrapper, Shah noted. Touché.

Spot XRP ETFs currently hold $1.21 billion in net inflows with assets under management hovering near $950 million—roughly 1.15% of the total market cap. Shah argues this passive approach leaves institutional money on the table. And by "on the table," he probably means "sitting in someone else's pocket while ETFs just HODL." Passive exposure is great if you're trying to explain crypto to your dad over Thanksgiving dinner, but it's not exactly setting the world on fire.

Here's where it gets spicy. A DAT can deploy assets on-chain, generate yields, and actively encourage ecosystem adoption—all while maintaining public company transparency. You don't get that from an ETF. Imagine your ETF is that friend who shows up to the party but just stands in the corner. A DAT is the one actually mixing drinks and making sure everyone's having a good time. There has been a valuable on-ramp to the XRP ecosystem for institutions and for building greater awareness. The ETF just... shows up.

Ripple CEO Brad Garlinghouse recently confirmed growing institutional interest, noting some of the world's largest companies are asking about stablecoins and digital assets. Companies that definitely weren't on crypto Twitter two years ago are now sliding into XRP's DMs. The institutional pivot is real, and honestly, it was only a matter of time before the suits remembered crypto existed.

Meanwhile, Evernorth is pushing to become the largest public XRP treasury, having raised over $1 billion in gross proceeds ahead of a proposed merger with Armada Acquisition Corp II. The combined entity plans to list under the XRPN ticker on Nasdaq. Yes, you read that right—$1 billion. Not a meme. Not a shitpost. Real money. The kind that makes traditional finance people nervous. They're coming for that institutional crown, and they brought receipts.

Evernorth also nominated Ripple CLO Stuart Alderoty and J Capital's Ted Janus to its board of directors, signaling a push for broader institutional participation. Nothing says "we're serious" like grabbing the legal and financial heavy hitters from the ecosystem.