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XRP holders access $280M RLUSD vault
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XRP holders access $280M RLUSD vault

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  • XRP holders can now borrow Ripple's RLUSD stablecoin on Ethereum without selling their XRP.
  • Flare's FXRP was approved as collateral in Sentora's US$280 million RLUSD Main vault on Morpho.
  • The integration gives XRP holders access to Ethereum lending while retaining exposure to XRP's price.

XRP (CRYPTO:XRP) holders can now borrow Ripple USD (CRYPTO:RLUSD) through a US$280 million lending vault on Ethereum (CRYPTO:ETH).

Users convert XRP into Flare's FXRP, bridge it to Ethereum and deposit it as collateral on the Morpho lending protocol.

“XRP is now collateral that an institutional risk team underwrites on Ethereum mainnet,” said Flare co-founder and CEO Hugo Philion.

Sentora reviewed FXRP's liquidity, market behaviour, price data and liquidation system before approving it as collateral.

Borrowers retain exposure to XRP's price while accessing dollar-pegged RLUSD liquidity without selling their XRP holdings.

The lending market uses Morpho Blue, which separates lending markets to limit risks linked to individual assets.

Ripple began testing RLUSD in 2024, before receiving New York regulatory approval ahead of its December 2024 launch.

At the time of reporting, XRP price was $1.07.

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