XRP will expand beyond its native network after Hex Trust announced plans to issue and custody Wrapped XRP (wXRP). This 1:1 backed representation of the Ripple token will operate on major blockchains, including Ethereum and Solana.
The initiative paves the way for one of the five largest crypto assets by market capitalization to access cross-chain DeFi applications. This expands the utility of XRP beyond the XRP Ledger and brings it to broader financial activity in the on-chain ecosystem.
XRP will reach Solana, Ethereum, and beyond
According to the press release, each wXRP will be fully backed by native XRP held in segregated custody at Hex Trust. The creation and redemption process will be available for authorized participants in a regulatory-compliant environment.
wXRP will launch with over 100 million dollars in Total Value Locked. This will provide immediate liquidity and support stable market activity from day one. The wrapped asset uses the LayerZero Omnichain Fungible Token standard, allowing participation across multiple blockchains.
“With wXRP, we are expanding the liquidity of XRP in DeFi and on cross-chain networks, including greater utility between XRP and RLUSD. Users of wXRP and RLUSD will benefit from two assets built on a reliable and compliant infrastructure, allowing for greater DeFi utility for XRP and RLUSD on the supported blockchains,” said Giorgia Pellizzari, CPO and Head of Custody at Hex Trust.
wXRP extends the reach of XRP in DeFi. It allows the asset to be usable on major blockchains, starting with Solana, Optimism, Ethereum, and HyperEVM. Hex Trust revealed that other networks will be added in the future.
This token allows users and institutions to participate in cross-chain activities. This includes swaps and liquidity provision under a regulated framework.
As each wXRP is fully backed and can be exchanged for native XRP, users can move their funds between blockchains without relying on unregulated third-party bridges. This helps reduce counterparty risk exposure.
Markus Infanger, SVP of RippleX, commented that there is a growing demand to use the altcoin across the cryptocurrency ecosystem and among institutions, and that Hex Trust is responding to that demand.
“This also fits naturally with the work we are doing with RLUSD, giving people a regulated way to access DeFi and manage their XRP positions on supported blockchains,” he highlighted.
However, the announcement had little positive impact on the price of XRP. Data from BeInCrypto Markets showed that the altcoin increased just over 1% in the last 24 hours, in line with the overall market recovery. At the time of writing, XRP was trading at 2.04 dollars.
The moderate reaction in the price was not limited to this development. The altcoin has also struggled to benefit from the success of spot ETFs or Ripple's broader expansion efforts.
