XRP Liquid Staking Debuts with mXRP Offering 8% APY
Midas and Axelar have launched mXRP, the first XRP liquid staking token on the XRP Ledger EVM via the Axelar bridge. This XRP liquid staking solution expands the altcoin’s utility and demand. The token delivers yields from the XRP DeFi ecosystem, offering up to 8% APY (potentially 10%). Anodos Finance co-founder Panek Mekras explains that mXRP is a yield-bearing version of XRP that trades at a premium as yield accrues. Yield strategies include lending, market making and depositing into DeFi protocols. Asset managers lock XRP, borrow stablecoins against it, then deploy capital to generate returns automatically embedded into mXRP. Traders simply buy and hold the token—similar to stETH and jitoSOL—to earn rewards. Each XRP used to mint mXRP is locked, reducing circulating supply and creating constant buying pressure. Midas and Axelar aim to be perpetual buyers of XRP. The launch complements Flare Network’s FXRP, another tokenized XRP for DeFi. XRP is trading around $2.84, down over the past 24 hours.
Bullish
The introduction of mXRP marks a significant expansion of XRP’s DeFi utility by enabling XRP liquid staking and locking tokens on the ledger. By offering up to 8–10% APY and embedding yield into the token, mXRP creates persistent buying pressure and reduces circulating supply—factors that typically support price appreciation. Traders can earn returns simply by holding mXRP, mirroring successful models like stETH that have driven demand and boosted ETH prices. In the short term, minting activity and locked supply could lift XRP’s price, while over the long term, liquid staking increases network engagement and attracts capital looking for yield, reinforcing a bullish outlook.