Payment focused cryptocurrency is little changed in 24 hours, in line with the broader crypto market, even after the introduction of a new product that allows holders to earn extra money without selling their tokens.
On Tuesday, Upshift, Clearstar and Flare unveiled earnXRP, a box designed to make it easier for XRP holders to generate returns on top of their spot market holdings. The new offering helps XRP holders bypass the complexities of managing DeFi strategies and pays dividends denominated in XRP.
Upshift is a platform dedicated to providing protocol and wallet toolkits to develop DeFi earning boxes. Clearstar is an on-chain risk curator that designs institutional-grade DeFi vaults, and Flare is a layer 1 blockchain designed for data-intensive use cases. Fintech company Ripple uses XRP to facilitate cross-border transactions.
How earnXRP works
Users deposit Flare’s FXRP, a 1:1, hedged representation of XRP that conforms to Ethereum’s ERC-20 token standard on Flare, into a box that deploys capital across various strategies. In return, users receive earnXRP, a receipt token representing their stake in the box and the accumulated XRP-denominated dividend.
At this time of year, there is typically low investor participation and thin liquidity, which leads to erratic price movements.
XRP could see a year-end pullback as social sentiment turns decidedly negative — a contrarian signal that has historically preceded recoveries, according to Santiment.
“XRP sees far more negative social media comments than average. Historically, this setup leads to price increases. When retail doubts a coin’s ability to rise, the rise becomes significantly more likely,” research firm Santiment said on X.
As the poet Charles Bukowski said, the masses are always wrong.
