XRP Ledger: Ripple Manager Spotlights New Native Loans and Yield on Chain

Key Insights:

• Ripple executive highlights native lending and yield plans for XRP Ledger.
• XRP supply keeps falling slowly as transaction fee burns continue.
• RLUSD on XRP Ledger edges closer to surpassing Ethereum supply.

XRP Ledger (XRPL) is gaining attention after Ripple executive Reece Merrick pointed to new lending and yield features being built for the network. At the same time, fresh talks around XRP supply and RLUSD growth on the ledger have added to interest across the community.

Native Lending Could Bring More Uses to the XRP Ledger

XRP Ledger could soon offer native lending and yield products if two proposed upgrades are approved. Ripple Managing Director for the Middle East and Africa, Reece Merrick, highlighted the development after responding to an update from SOIL.

SOIL said it is preparing to become the first project to use the XRPL Lending Protocol and Savings. The team explained that this depends on XLS-65 and XLS-66, two proposals that would allow lending and yield services to run directly on the network. It also shared an early preview of the product and said it hopes both upgrades are activated soon.

If approved, users would be able to lend digital assets and earn returns without leaving the XRPL. Developers would also have a way to build lending products directly on the blockchain rather than relying on another network.

The planned features are expected to give users more reasons to keep their activity on the XRP Ledger. They could also open the door for more financial applications built around the network. For now, the proposals are still awaiting completion of the approval process before they can go live.

The update has attracted attention because lending and yield services have become common on several blockchains. Supporters believe adding them directly to the XRP Ledger could help expand the network and bring in more projects over time.

XRP Burn Continues to Reduce Supply

The discussion around XRP Ledger also turned to the coin’s supply. Community member Krippenreiter noted that the network burns only a small amount of XRP with each transaction. The burn rate is slow, and the remaining supply is still large. Even so, the maximum supply today is lower than it was in 2017.

Every transaction destroys a tiny amount of XRP. Those coins cannot be brought back, which means the supply keeps falling little by little as the network is used.

The amount removed from circulation is not large enough to change the supply in a short period. Still, the process continues every day as transactions take place across the network. The comment sparked fresh discussion among XRP holders about the long-term effects of steady transaction activity. While the change is small, it is permanent.

RLUSD Growth Shifts Toward the XRP Ledger

Bill Morgan also pointed to another trend involving Ripple’s stablecoin, RLUSD. He said the amount of RLUSD on the XRP Ledger is getting close to passing the supply on Ethereum. His view is based on data covering burned tokens, the number of holders, transaction activity, and the growth of real-world asset inflows.

Morgan believes Ripple is moving more RLUSD activity to the XRPL because it better fits the stablecoin’s main use. He said the network is designed for fast payments and stable value, making it a better home for RLUSD over the long term.

The figures have raised a simple question within the community. If the current pace continues, the XRP Ledger could soon hold more RLUSD than Ethereum. That change would add to the network’s growing list of developments as work continues on lending, yield products, and other services that could expand activity on the blockchain.