Flare, Monarq, and Upshift launched MXRPY, a managed multi-strategy yield vault designed to give XRP holders a new way to earn returns on their XRP across Flare’s XRPFi ecosystem.
The vault, announced on May 15, is built around FXRP, the representation of XRP on Flare, and runs on Upshift’s vault infrastructure. Monarq Asset Management, a digital asset manager backed by FalconX, will manage strategy allocation and execute off-chain trades.
XRP yield gets a new strategy model
MXRPY is designed to move XRP yield beyond a single DeFi model by splitting capital across three return sources.
The first uses XRP as collateral through FalconX infrastructure to borrow Bitcoin and deploy it into options strategies across venues such as Deribit and OTC structured products.
The second targets market-neutral trading strategies, using XRP as collateral to borrow stablecoins and trade across major crypto markets.
The third keeps part of the capital on Flare, where FXRP can be used in native XRPFi venues such as lending markets, liquidity strategies, and other on-chain opportunities.
Users receive MXRPY as a vault receipt token
Users can deposit FXRP into the Monarq XRP Yield Vault through Upshift and receive MXRPY, a receipt token representing their deposited FXRP and any realized yield over time.
Withdrawals will burn MXRPY and return FXRP to users’ wallets, with redemptions settling every Friday and instant redemption available for a small fee.
Monarq Managing Partner Shiliang Tang said a real financial system needs “a broader menu of options,” adding that MXRPY is designed to be one of those options for XRP holders.
Flare expands XRPFi product lineup
The launch follows growing demand for XRP-denominated vaults on Flare, including Upshift’s earlier work on the Clearstar EarnXRP vault.
Upshift Growth Lead Ethan said MXRPY expands the model with a different strategy profile and a wider mix of yield sources, as XRPFi moves toward more choice across curators, execution styles, risk profiles, and yield mechanics.
The initial deposit cap is set at 500,000 FXRP, allowing Monarq, Flare, and Upshift to monitor deployment, liquidity, and early performance as the vault scales.
A standalone dApp is planned for a later release, with the goal of allowing users to connect directly from an XRPL wallet and allocate to strategies with a single signature while Flare Smart Accounts handle execution underneath.