Huge: XRP Holders Will Soon Be Able to Earn Interest on Their Holdings Via XRP Network – Details

What to Know

• A proposed XLS-66 could add native lending and borrowing to the XRP Ledger, allowing users to supply assets like XRP and RLUSD to earn interest directly on-chain.
• The amendment still needs 80% validator approval for two weeks and currently has only 17% support, so the feature is not live yet.
• If adopted, it could expand XRPL into a full DeFi ecosystem, potentially shifting lending activity from platforms like Aave to XRPL.

A new proposal circulating within the XRP Ledger ecosystem could open the door for XRP holders to earn yield directly on the network. Crypto community analyst Diana recently highlighted the development, noting that a proposal known as XLS-66 aims to introduce built-in lending and borrowing functionality on XRPL.

If implemented, the proposal would allow users to supply assets like XRP and RLUSD, borrow against collateral, and earn interest without relying on external decentralized finance platforms. The functionality would exist directly within the XRPL ecosystem, marking a significant step toward expanding the network’s financial capabilities.

However, the proposal is not live yet, as it needs about 80% of validator approval for two straight weeks to activate. At the time of the report, there were only 17% yes votes on this amendment.

How XLS-66 Could Change the XRPL Ecosystem

The proposed XLS-66 amendment is designed to introduce a native credit and lending layer to XRPL. Currently, lending and yield opportunities for XRP holders are largely limited to third-party platforms or other blockchain ecosystems.

Under the proposed system, users would be able to participate in decentralized lending markets directly on the XRP Ledger. This would allow XRP holders to deposit assets into lending pools, earn interest from borrowers, and access liquidity while keeping assets within the XRPL environment.

Analysts say such functionality could expand the network’s role beyond payments and settlements into broader decentralized finance services.

Also Read: Another Big Day for XRP on March 11 – Here’s What’s Coming

UPDATE: New XRP Lending Protocol Would Let Holders Earn Yield DIRECTLY on XRPL — NOT Live Yet

A new $XRP Ledger proposal, XLS-66, is designed to bring built-in lending and borrowing DIRECTLY onto the XRPL.

If approved, it would allow users to put idle $XRP and $RLUSD… https://t.co/fHgjlMCtCn pic.twitter.com/DyodX7Y17C

— Diana (@InvestWithD) March 7, 2026

RLUSD Already Participating in DeFi on Ethereum

Diana also pointed out that RLUSD, Ripple’s stablecoin, is already active in decentralized lending markets on Ethereum. The asset is currently being used on the lending protocol Aave, where suppliers can earn roughly 4.3% annual percentage yield (APY).

According to available figures, more than $570 million worth of RLUSD has already been supplied into lending pools on the platform. This activity demonstrates existing demand for yield opportunities tied to assets within Ripple’s ecosystem.

Potential Migration of DeFi Activity to XRPL

If XLS-66 is approved and deployed, analysts suggest that lending activity involving RLUSD could eventually shift from Ethereum-based DeFi into XRPL’s own native credit infrastructure.

Such a transition would allow lending, borrowing, and yield generation to occur directly on the XRP Ledger rather than through external networks. The move could simplify liquidity flows within the Ripple ecosystem while strengthening XRPL’s decentralized finance capabilities. The development could also enable large institutional players to interact with on-chain credit markets more efficiently.

Institutional Participation Could Expand

According to Diana, a native XRPL lending system could open the door for larger financial entities, including corporate treasury operations linked to Ripple, to access on-chain yield opportunities.

Instead of relying on third-party protocols on other blockchains, institutions could potentially manage liquidity, lending, and borrowing directly within XRPL’s infrastructure.

While the proposal remains in the approval stage, the introduction of native lending and borrowing would represent a major expansion of XRPL’s financial functionality and could position the network as a more complete decentralized finance ecosystem.

For now, market observers are watching closely to see whether XLS-66 moves forward and when a potential launch could bring lending and yield generation directly to XRP holders.

Also Read: Huge: XRP and XLM Explored as Integrated Liquidity Tokens in DTCC Framework – Here’s What You Should Know

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