mXRP Token Explained: How to Earn up to 8% Yield on XRP Ledger

XRP has always been one of the most widely held cryptocurrencies, but there’s been one frustrating problem for long-term holders: your XRP just sits there. The XRP Ledger doesn’t natively offer staking rewards. 

That’s now starting to change. With the launch of the mXRP token from Midas Crypto, XRP holders can finally put their coins to work through XRP liquid staking. By minting mXRP, you get a token that mirrors your XRP 1:1 while unlocking yield strategies in the background. This means you can potentially earn yield with XRP while still keeping your tokens liquid

In this guide, I’ll break down how mXPR works, why XRP needed this solution in the first place, and provide a step-by-step walkthrough of how to start earning. I’ll also cover the potential rewards, risks, and what role Midas Crypto plays in making it happen.

Why XRP needs liquid staking

For years, XRP staking was not a reality, and this is why:

• Consensus vs Proof-of-Stake: The XRP Ledger relies on a unique consensus mechanism, not Proof-of-Stake. That means there’s no built-in system of validator rewards that could be passed back to token holders.
• Idle capital problem: If you were holding XRP in your wallet, it wasn’t working for you. No compounding rewards, no passive income, just price exposure.
• Missed opportunity: Meanwhile, ETH stakers were earning 4–5% APY, SOL holders even more during certain cycles. XRP investors were effectively left behind.

This gap created a strong demand for a liquid staking solution that could bring yield opportunities to the XRP ecosystem. That’s where mXRP token enters the picture. It acts as a bridge and lets you convert idle XRP into a liquid, yield-bearing asset.

What is mXRP token?

The mXRP token launch is the first real attempt to bring XRP liquid staking into the mainstream. At its core, mXRP is a 1:1 representation of your XRP that lives on the XRPL EVM sidechain. It’s a new smart-contract environment connected to the XRP Ledger.

So, how does mXRP token work in practice?

• You deposit XRP into a smart contract (via the Axelar bridge).
• In exchange, you receive mXRP tokens, minted at a 1:1 ratio.
• Behind the scenes, the deposited XRP gets deployed into yield-generating strategies, managed by Midas Crypto and its partners.
• The value of mXRP increases over time as yield accrues, meaning simply holding mXRP lets you passively earn yield with XRP.

Think of mXRP like a receipt that never loses utility. You can:

• Hold it to passively grow your XRP stack.
• Trade it like a regular token.
• Deploy it in DeFi apps built on XRPL EVM.

This design means you’re not forced to “lock up” your XRP like in traditional staking models. Instead, you keep liquidity while still benefiting from yield. That’s why mXRP is described as a liquid staking solution for XRP.

How to earn yield with XRP using mXRP (Step-by-step)

So you’re holding XRP and want to put it to work. 

Here’s how the mXRP token makes that possible in four clear steps:

Step 1: Bridge XRP to XRPL EVM

The first step is to move your XRP from the main ledger to the XRPL EVM sidechain. This is where the smart contracts live, and where XRP liquid staking happens. The process runs through the Axelar bridge, a trusted cross-chain system. 

Once bridged, your XRP becomes usable inside the XRPL EVM ecosystem, just like ETH on Ethereum DeFi.

Step 2: Mint mXRP tokens

With your XRP on the XRPL EVM, you deposit it into Midas’s audited smart contract. 

In return, you mint mXRP tokens on a 1:1 basis. If you send in 1,000 XRP, you’ll receive 1,000 mXRP. These tokens are your proof of stake, representing the underlying XRP.

Step 3: Start earning yield

Here’s where the magic happens. The pooled XRP is deployed into strategies managed by Midas and its professional “risk curators.” These include liquidity provision, algorithmic trading, and other yield-focused activities. 

As profits are generated, the value of each mXRP token rises. In other words, just holding mXRP lets you earn yield with XRP. This is sometimes referred to as the mXRP token yield.

Step 4: Use or redeem mXRP

Unlike traditional staking, your tokens aren’t locked. mXRP is fully liquid:

• You can trade it on supported platforms.
• You can deploy it in DeFi, for example in lending protocols or liquidity pools.
• Or, you can redeem it back for XRP whenever you’re ready, reclaiming both your original coins and the yield you’ve earned along the way.

This flexibility is what makes mXRP different. Instead of having to balance between “yield” and “liquidity,” you get both.

How much yield can you earn?

The main attraction of the mXRP token is the potential return. According to Midas Crypto’s framework, holders can expect a target yield of 6–8% APY on their deposited XRP. 

In some cases, depending on the performance of the underlying strategies, estimates run as high as 10% annualized returns.

So what does that actually mean?

• Passive growth: If you hold 10,000 XRP and mint 10,000 mXRP, you could see your holdings grow by the equivalent of 600–800 XRP over a year.
• Competitive edge: Ethereum staking currently offers ~4–5% APY, while Solana staking ranges between 6–7%. By offering up to 8%, mXRP puts XRP on par with or ahead of many Proof-of-Stake networks.
• Liquidity preserved: Unlike traditional staking, your mXRP tokens remain usable. That means your yield can stack on top of DeFi opportunities. This can potentially boost returns even further.

This is the first time XRP holders can realistically earn yield with XRP without having to sell their coins or leave them idle. 

Risks and considerations

As promising as the mXRP token sounds, “zero risk” doesn’t exist in crypto.

Before diving in, here are the main risks you should understand:

• Bridge risk: To get XRP into the XRPL EVM sidechain, you use the Axelar bridge. Yes, it’s widely used and audited. But any cross-chain bridge introduces an additional attack surface. Hacks in other ecosystems have shown this is a real risk.
• Smart contract risk: mXRP relies on smart contracts managed by Midas Crypto and its partners. These contracts have been audited, but vulnerabilities are never completely ruled out.
• Custodial trust: Unlike native staking on PoS chains, this model involves trusting Midas Crypto as the issuer and curator. If the company or its partners mishandle assets, user funds could be at risk.
• Yield variability: The mXRP token yield is not fixed. Returns depend on the performance of underlying strategies, which can fluctuate with market conditions. Although the target is 6–8% APY (which is attractive), there’s no absolute guarantee.
• Regulatory uncertainty: Tokenized yield products are still relatively new. Changes in regulation could impact how mXRP operates, especially since Midas is trying to become a compliant tokenization platform in Europe.

Let me put it this way. mXRP opens the door to XRP staking–style rewards for the first time, but it isn’t the same as simply delegating tokens on a Proof-of-Stake chain. It’s a mix of DeFi mechanics and custodial oversight. And that means doing your own due diligence before committing funds.

About Midas crypto and its role

The mXRP token didn’t come out of nowhere. It’s the product of Midas Crypto, a European tokenization platform that focuses on yield-bearing digital assets. 

Midas already manages over $1 billion in tokenized certificates. So, it has credibility as more than just a niche DeFi experiment.

Here’s how Midas Crypto fits into the picture:

• Issuer of mXRP: Midas is the platform that structures and issues the mXRP token. When you deposit XRP into the XRPL EVM, it’s Midas’s framework that creates the 1:1 mXRP tokens.
• Compliance layer: Unlike many DeFi projects, Midas is trying to make itself into a compliant player. It operates within European regulations and works with licensed custodians to safeguard assets.
• Yield strategies: Midas partners with professional firms called “risk curators” who manage the underlying XRP strategies. These include activities like liquidity provision and algorithmic trading. The performance of these curators directly impacts the mXRP token yield.
• XRPL integration: By launching mXRP at the same time as the XRPL EVM sidechain, Midas effectively gave XRP holders their first native way to tap into DeFi yield. This is why you’ll sometimes see mXRP referred to as “mXRP Midas” in the ecosystem.

This is not just one more staking pool. Midas is building an institutional-grade bridge between traditional XRP holders and the on-chain yield. 

If you’ve been waiting for XRP staking opportunities, Midas is the company making it possible.

The bottom line

For years, XRP holders had no native way to earn staking rewards. The network’s consensus model meant your coins stayed idle, even as other ecosystems introduced staking yields and liquid staking tokens.

The launch of the mXRP token changes that. Working with the XRPL EVM sidechain and the Axelar bridge, Midas Crypto has created a system where XRP can finally become a productive asset. Holders can mint mXRP, deploy it in DeFi, and potentially earn up to 8% yield. During all that, they keep their liquidity.

Of course, risks remain: bridges, smart contracts, and custodial trust come with their own challenges. 

But this is the first real chance to experience XRP staking in a practical form. Instead of sitting on idle capital, XRP holders can now participate in the growing DeFi economy while keeping exposure to their favorite token.

Ripple is also making waves in the world of banking, with many speculating that XRP could eventually replace SWIFT, although coexistence remains the more likely outcome.