Hex Trust Launches wXRP to Bring XRP into Multi‑Chain DeFi
Hex Trust has launched wXRP, a fully collateralized 1:1 wrapped XRP token built to bring XRP liquidity and DeFi access across multiple chains. wXRP is initially live on Ethereum and uses LayerZero’s Omnichain Fungible Token (OFT) standard for cross‑chain transfers; support for Solana, Optimism and HyperEVM is planned or imminent. Hex Trust says wXRP is backed by institutional‑grade custody of native XRP with KYC/AML controls, reporting over 50 million XRP in reserves and an initial TVL above $100 million to bootstrap liquidity. The wrapper enables standard DeFi use cases — trading pairs, lending, yields and direct interactions with Ripple‑adjacent assets such as RLUSD — while avoiding unregulated bridge designs. Ripple executives welcomed the product as expanding XRP utility while keeping the XRP Ledger as the anchor. Early circulation is mainly on Ethereum (~50M wXRP), with limited activity yet on Optimism and HyperEVM. The launch follows broader industry moves to increase XRP interoperability (e.g., Flare, Axelar integrations) and signals a step toward greater XRP participation in multi‑chain DeFi markets. Traders should watch liquidity migration, on‑chain volumes and any regulatory signals that could affect redemption flows between wXRP and native XRP.
Bullish
The launch of wXRP is likely bullish for XRP price for several reasons. Short term: the announced >$100M TVL and ~50M wXRP circulating on Ethereum increase on‑chain demand and tradable liquidity, potentially tightening supply of native XRP available on exchanges as participants move assets into custody and DeFi positions. Market participants often view wrapped, yield‑bearing versions of an asset as demand drivers because they enable lending, staking, and new trading pairs. Medium to long term: broader multi‑chain access (Ethereum, Solana, Optimism, HyperEVM) and integrations using LayerZero reduce friction for DeFi participation, likely expanding use cases and institutional access — factors that can support higher sustained demand for XRP. The compliant custody/KYC framing reduces some regulatory uncertainty for institutional entrants, which could attract capital that previously stayed on the sidelines. Risks that could limit upside: slow uptake on secondary chains, redemption flows converting wXRP back to native XRP for sale, or adverse regulatory guidance affecting wrapped products. Overall, the balance of increased DeFi utility, initial liquidity backing and institutional custody points to a net positive price impulse for XRP.