Midas, in partnership with Axelar and Hyperithm, has launched mXRP, the first XRP yield product of its kind that is fully composable in DeFi.

Midas, in partnership with Axelar and Hyperithm, has launched mXRP, the first XRP yield product of its kind that is fully composable in DeFi.

Tokenization platform Midas has launched mXRP, a tokenized XRP product that operates on the XRP Ledger’s EVM sidechain, with infrastructure and interoperability provided by Axelar.

Tokenization platform Midas has launched mXRP, a tokenized XRP product that operates on the XRP Ledger’s EVM sidechain, with infrastructure and interoperability provided by Axelar.

Users can create mXRP by depositing XRP as collateral, which then follows the performance of underlying yield strategies such as market-making and liquidity provision. Hyperithm, a third-party asset manager, will act as the “risk curator,” managing these strategies, Dennis Dinkelmeyer, co-founder and CEO of Midas, told The Block. The product targets a base yield of 6–8% paid out in XRP.

Users can create mXRP by depositing XRP as collateral, which then follows the performance of underlying yield strategies such as market-making and liquidity provision. Hyperithm, a third-party asset manager, will act as the “risk curator,” managing these strategies, Dennis Dinkelmeyer, co-founder and CEO of Midas, told The Block. The product targets a base yield of 6–8% paid out in XRP.

In addition to the base yield, users can deploy mXRP across DeFi protocols to maximize earnings from their XRP holdings. “Much of the XRP supply has been dormant for years; mXRP provides a transparent mechanism for users to access onchain strategies,” Dinkelmeyer explained. 

In addition to the base yield, users can deploy mXRP across DeFi protocols to maximize earnings from their XRP holdings. “Much of the XRP supply has been dormant for years; mXRP provides a transparent mechanism for users to access onchain strategies,” Dinkelmeyer explained. 

Georgios Vlachos, co-founder of Axelar, described the structure as making mXRP a “perpetual buyer” of XRP, with yield generated from strategies used to purchase additional XRP that is then distributed to mXRP holders. Vlachos added that if mXRP’s AUM grow to $10 billion by June next year, the product could generate $700 million in annual buying pressure for XRP.

Georgios Vlachos, co-founder of Axelar, described the structure as making mXRP a “perpetual buyer” of XRP, with yield generated from strategies used to purchase additional XRP that is then distributed to mXRP holders. Vlachos added that if mXRP’s AUM grow to $10 billion by June next year, the product could generate $700 million in annual buying pressure for XRP.

Access to mXRP is restricted in the U.S., U.K., and other sanctioned jurisdictions.

Access to mXRP is restricted in the U.S., U.K., and other sanctioned jurisdictions.

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How mXRP sets itself apart in XRP yield market

How mXRP sets itself apart in XRP yield market

The launch of mXRP comes amid a rising number of XRP-focused yield products entering the market, such as Doppler Finance’s self-custody XRPfi Prime, which unlocks yield within a hardware wallet, and XRP yield accounts recently launched by MoreMarkets.

The launch of mXRP comes amid a rising number of XRP-focused yield products entering the market, such as Doppler Finance’s self-custody XRPfi Prime, which unlocks yield within a hardware wallet, and XRP yield accounts recently launched by MoreMarkets.

However, as Dinkelmeyer explained, those “Earn” products function like traditional savings or lending accounts, whereas mXRP is a transferable ERC-20 token compatible with DeFi. “That composability gives mXRP real utility beyond just holding it,” he said.

However, as Dinkelmeyer explained, those “Earn” products function like traditional savings or lending accounts, whereas mXRP is a transferable ERC-20 token compatible with DeFi. “That composability gives mXRP real utility beyond just holding it,” he said.

It’s also worth noting that XRP yield is beginning to attract significant institutional interest. Notably, Nasdaq-listed VivoPower has recently partnered with Flare to deploy $100 million in XRP through Flare’s scalable FAssets framework, generating institutional-grade yield while reinvesting returns into its holdings.

It’s also worth noting that XRP yield is beginning to attract significant institutional interest. Notably, Nasdaq-listed VivoPower has recently partnered with Flare to deploy $100 million in XRP through Flare’s scalable FAssets framework, generating institutional-grade yield while reinvesting returns into its holdings.

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