At the center of the story is RippleWorks, the IRS-registered nonprofit Larsen co-founded. According to the report, RippleWorks invested $500,000 in cash plus 211,319,096 XRP into Arrington XRP Capital Fund, LP, the sponsor vehicle tied to the Evernorth deal. That investment gave RippleWorks a majority of the fund’s limited partner interests, while the fund is required to invest all of RippleWorks’ XRP tokens into Evernorth shares.
Ripple Founder Larsen’s RoleThe formal control structure runs through Arrington XRP Capital Fund’s general partner, an LLC managed by Michael Arrington. But the filing described by Protos says that control is constrained by contract. Under an October 17, 2025 agreement, the fund must “consult with RippleWorks on any decisions directly related to the disposition or voting of Evernorth Holdings Inc. Stock” and “to vote such shares as directed by RippleWorks.”
That arrangement is what gives the report its edge. Protos highlights language from the SEC Form S-4 filed on March 18 that does not mince words about the misalignment. “The economic interests of the Sponsor diverge from the economic interests of holders of the Public Shares,” the filing states. It goes further: “This structure may create potential conflicts of interest between Mr. Larsen’s duties to Ripple, his influence over RippleWorks’ investment in Arrington XRP Capital Fund, and the interests of Evernorth Holdings Inc. and its stockholders.”
The filing, as quoted in the report, acknowledges a limit to Larsen’s direct authority. It says he “does not have direct control over RippleWorks’ voting or investment decisions with respect to Arrington XRP Capital Fund.”
In another passage cited by the report, the SEC disclosure says Larsen’s “dual roles and affiliations could give rise to situations where his interests as an executive of Ripple differ from or conflict with the interests of Armada Acquisition and holders of Armada Acquisition Class A Common Stock.”
The financial backdrop makes the governance question more striking. IRS filings cited by Protos show RippleWorks held $1.4 billion in assets for fiscal year 2024. The report says Larsen contributed most of those assets, and that 89% of RippleWorks’ revenue in 2024 came from selling some of them. It also notes that CEO Doug Galen earned $845,945 that year, while Larsen was listed as secretary/treasurer with zero compensation.
Protos also points to deal terms that could further benefit RippleWorks and Ripple if XRP rises before closing. Under a closing adjustment, both can receive bonus shares in Evernorth if the token appreciates, while still retaining shares priced on fixed contractual terms even if XRP does not rally. That asymmetry is central to the report’s thesis: Larsen-linked entities may be positioned to capture upside in a public-market vehicle while ordinary shareholders absorb a governance structure already flagged in the filings themselves.
At press time, XRP traded at $1.45.
