Payment-focused cryptocurrency Little has 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 winXRP, a vault designed to make it easier for XRP holders to generate returns on top of their spot market holdings. The new offering helps XRP holders avoid the complexities of managing DeFi strategies and pays returns denominated in XRP.
Upshift is a platform dedicated to providing a set of tools to protocols and wallets to develop DeFi profit vaults. 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. Financial technology company Ripple uses XRP to facilitate cross-border transactions.
How earningXRP works
Users deposit Flare’s FXRP, a 1:1 overcollateralized representation of XRP that conforms to Ethereum’s ERC-20 token standard on Flare, into a vault that deploys capital across various strategies. In exchange, users receive winXRP, a receipt token that represents their stake in the vault and the accumulated yield denominated in XRP.
This time of year typically sees low investor participation and low liquidity, causing erratic price movements.
XRP could see a rebound at the end of the year as social sentiment turns decisively negative, a contrarian signal that has historically preceded rallies, according to Santiment.
“XRP is seeing far more negative comments on social media than average. Historically, this setup leads to price increases. When retail trade has doubts about a coin’s ability to rise, the increase becomes significantly more likely,” analysis firm Santiment said on X.
As the poet Charles Bukowski said, the masses are always wrong.
