Monarq, Flare and Upshift Launch XRP Yield Vault Targeting 3% to 4% APY

MXRPY brings managed yield strategies to XRP holders

Monarq, Flare and Upshift have launched MXRPY, a managed multi-strategy XRP yield vault designed to give holders exposure to several return sources through one product. The vault is built on Flare and uses FXRP, the representation of XRP within the Flare ecosystem.

The launch comes as XRP-focused DeFi continues to grow beyond simple lending and liquidity pools. As CoinCodex has previously covered in its XRP DeFi guide, native XRP does not generate staking yield in the same way as proof-of-stake assets, which has pushed developers toward wrapped assets, AMMs, lending markets, and other DeFi structures.

MXRPY is powered by Monarq Asset Management and runs on Upshift’s institutional vault infrastructure. According to the companies, the vault currently targets roughly 3% to 4% APY, although realized returns will depend on market conditions, execution, and how capital is deployed over time.

The vault begins with an initial 500,000 FXRP deposit cap. Users who deposit FXRP receive MXRPY receipt tokens, which represent their deposited capital and accrued yield. Withdrawals are processed weekly each Friday, while an optional instant redemption feature is available for a fee.

The product allocates capital across three main return engines. The first uses XRP as collateral through FalconX infrastructure to support options strategies on venues such as Deribit and through OTC structured products. The second uses market-neutral basis and funding rate arbitrage strategies with borrowed stablecoins across major crypto markets. The third deploys capital directly into Flare-native XRPFi opportunities, including lending markets, liquidity strategies, and other FXRP-based applications.

Upshift said the new vault builds on earlier demand for XRP-denominated products on Flare.

The companies also plan to release a standalone application in the future. The app is expected to let users connect through XRPL wallets and allocate capital using a single signature flow powered by Flare Smart Accounts.

The bottom line

MXRPY adds a managed, multi-strategy product to Flare’s XRPFi ecosystem at a time when XRP holders are increasingly looking for structured ways to put idle assets to work. The vault’s blend of options, arbitrage, and onchain deployment gives it a broader strategy mix than single-purpose lending or liquidity products.

However, the product still carries risk. Yield can fluctuate, and users remain exposed to counterparty, smart contract, oracle, market, and infrastructure risks across both onchain and offchain venues. For XRP holders comfortable with those risks, MXRPY introduces another route into DeFi-style yield without leaving the Flare ecosystem.