Upshift, Clearstar and Flare are launching earnXRP, a new XRP-denominated yield vault designed to make earning onchain XRP yield simpler, more transparent, and more accessible.

For the first time, XRP holders can generate yield directly denominated in XRP, without managing complex DeFi strategies themselves. The Flare XRP Yield Vault is made possible by Flare’s FAssets system, powered by Upshift’s vault infrastructure, and curated by Clearstar, an onchain risk manager with institutional expertise.

What is earnXRP

earnXRP is the first fully onchain yield product denominated in XRP.It allows users to deposit FXRP (XRP represented 1:1 on Flare) into a single vault that deploys capital across a diversified set of yield strategies. All returns are automatically compounded back into XRP.

Rather than relying on a single source of yield, earnXRP aggregates multiple onchain strategies into one transparent, non-custodial vault that users can access with a single deposit.

How earnXRP works

1. Deposit FXRP
Users deposit FXRP directly from their wallets into the earnXRP vault.

2. Receive earnXRP
In return, users receive earnXRP, the vault’s receipt token. This token represents the user’s deposited FXRP plus any yield generated over time.

3. Earn Automatically Compounded Yield
The vault deploys FXRP into curated strategies, with all profits compounded back into XRP.

4. Withdraw at Any Time
When users request a withdrawal, their earnXRP tokens are burned and FXRP is returned to their wallet. All vault operations are handled autonomously by Upshift’s infrastructure.

The earnXRP vault uses a diversified strategy designed to generate yield on FXRP. It brings on-chain versions of yield-generation approaches that professional funds have used for years. Carry trades and similar market-neutral strategies can now be accessed via a single vault, without users needing to monitor or manage positions themselves.

Yield strategy overview

The earnXRP vault uses a diversified, market-aware strategy designed to generate yield while remaining fully denominated in FXRP. These strategies bring on-chain versions of yield-generation approaches that professional funds have used for years — now accessible through a single vault.

At launch, the strategy consists of:

  • Carry trades
  • Staking & cover underwriting via Firelight
  • Concentrated liquidity provision in AMMs

These are combined into a single, easy-to-use vault designed to offer XRP-denominated yield without requiring users to actively manage or rebalance positions.

Additional strategies will be added and scaled over time.

Launch parameters

  • Deposits will be available through the Upshift platform.
  • Users must mint or swap into FXRP on Flare before depositing. Learn how to mint FXRP in our video guide: https://www.youtube.com/watch?v=WkdWZJJBem0     
  • 5x Upshift Points incentive for early users
  • Initial deposit cap: 5 million FXRP, allowing strategies to scale responsibly
  • Fees waived for the first 30 days upon launch
  • No per user deposit cap

Why earnXRP matters for XRP holders

Flare enables XRP to be used in DeFi as FXRP, a 1:1 ERC-20 representation of XRP that unlocks DeFi utility not possible on the XRP Ledger alone. With earnXRP, XRP holders can maintain exposure to their preferred asset while accessing a broader set of yield opportunities.

“Only 0.1% of XRP supply is utilized in DeFi, despite it being the 5th largest cryptocurrency by market cap. Users have not had an easy way to capture sustainably high-returns. We’re excited to work with Flare and Clearstar to unlock XRP yield using the new Flare XRP Yield vault.” Ethan, Growth Lead at Upshift

earnXRP simplifies participation in XRP-based DeFi by providing:

  • A single FXRP deposit
  • A receipt token (earnXRP) representing vault ownership
  • Automatically compounded, XRP-denominated yield

Once FXRP is deposited, Upshift and Clearstar handle everything else.

Why earnXRP matters for the Flare XRPFi ecosystem

Beyond yield, earnXRP serves as a core liquidity and adoption engine for Flare’s XRPFi stack. By transforming passive FXRP into productive capital, earnXRP increases onchain liquidity, supports deeper stablecoin markets, and accelerates usage of Flare’s FAssets system.

As capital compounds back into XRP rather than stablecoins or external assets, earnXRP reinforces XRP as the unit of account for the ecosystem. In doing so, it brings institutions, crypto-native users, and retail participants into a unified, self-reinforcing XRPFi economy built on Flare.

Meet Clearstar

Clearstar is an on-chain risk curator. They have deployed vaults across leading DeFi platforms including Morpho, Euler, and Upshift. They are backed by a Swiss asset management company with about $1B AUM and combine backgrounds in private equity, investment banking and DeFi.

Clearstar expertise has been developed through the continuous effort of providing top infrastructure, yield optimization and risk management to a market-neutral crypto fund since 2022. They design vaults with institutional rigor but make them easy to integrate into consumer-facing products.

Meet Upshift

Upshift is an institutional-grade toolkit for protocols and wallets to design and launch DeFi Earn vaults. Upshift focuses on transparency, security and flexible strategies.

Teams deploy Upshift vaults to generate high-quality yield for their LPs, while keeping funds non-custodial and deployed across a set of allowlisted strategies. Upshift has attracted over $500m in deposits across 25+ vaults, collaborating with partners such as Ethena, Kelp, Resolv, and now Flare.

Disclaimer: The information provided on AlexaBlockchain is for informational purposes only and does not constitute financial advice. Read complete disclaimer here