A new yield product called earnXRP has gone live, denoting another step in the growing effort to bring XRP into decentralized finance (DeFi), an emerging sector often referred to as XRPFi.
The product aims to help XRP holders generate onchain yield from assets that have largely remained inactive across DeFi.
earnXRP is a joint initiative by Upshift Finance, Clearstar, and Flare Network per a Monday report. It combines DeFi vault infrastructure, onchain risk management, and a Layer 1 blockchain designed specifically to support XRP-based financial applications.
The launch comes as developers increasingly focus on unlocking utility for XRP beyond payments, particularly as only a tiny fraction of XRP supply is currently active in DeFi protocols. The positive development also follows the launch of the first U.S. spot XRP exchange-traded fund (ETF).
Unlocking DeFi Yield for XRP Holders
earnXRP allows users to deposit FXRP, a wrapped version of XRP issued on Flare Network, into a single vault. The vault then allocates capital across multiple onchain strategies designed to generate yield that is denominated in XRP, rather than stablecoins or other assets.
According to Ethan Luc, growth lead at Upshift Finance, less than 0.1% of XRP’s circulating supply is currently used in decentralized finance, despite XRP being one of the world’s largest cryptocurrencies by market capitalization.
“Users have not had an easy way to capture sustainably high returns,” Luc said according to the report. Thus, earnXRP is designed to close that gap by offering a simplified, managed approach to yield generation.
Notably, the vault structure removes the need for users to manually deploy capital across multiple protocols, lowering technical barriers and operational risk.
Read also: Uphold Relaunches Debit Card in the U.S., Offering XRP Rewards for Everyday Spending
Yield Targets and How earnXRP Works
earnXRP’s expected yield ranges between 4% and 10%, depending on the size of the vault and market conditions. Clearstar Labs explained in a report that smaller vault sizes between $1 million and $10 million could support yields closer to the upper end of that range, while larger vaults may see yields compress to around 3% to 4% as capital scales.
earnXRP deployed funds across several strategies at launch, including staking, carry trades, underwriting through DeFi insurance protocols, and concentrated liquidity provision in automated market makers. According to the team, additional strategies may be added over time.
Notably, the initial deposit cap for earnXRP is set at 5 million FXRP, with no individual user limits. Fees are waived for the first 30 days, and deposits are available directly through the Upshift platform. Users must first mint or swap into FXRP on Flare before participating.
Moreso, users receive earnXRP vault tokens representing their share of the deposited FXRP and can redeem them at any time.
How earnXRP Fits Into the XRPFi Ecosystem
The launch builds on earlier XRP yield experiments. In September, Midas introduced mXRP, a tokenized XRP product that holds around $20.94 million in total value locked as of December 2025. Likewise, Flare Network teamed up with Enosys Loans to onboard the first-ever XRP-backed stablecoin in September 2025.
Meanwhile, Firelight Finance launched an XRP staking protocol on Flare in early December using a liquid token called stXRP. Unlike receipt-style tokens such as stXRP, earnXRP functions as a portfolio-style vault, automatically allocating funds across multiple protocols, including Firelight itself.
As XRPFi continues to develop with innovative products such as earnXRP, mXRP and stXRP, several experts expect an XRP supply shock to happen.
