Two of the largest altcoins in the market are coming closer together.
Today, Hex Trust, a regulated digital asset custodian based in Hong Kong, confirmed it will issue and custody Wrapped XRP (wXRP) on the Solana blockchain.
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As usual, each wrapped token will be paired on a 1:1 ratio with the native XRP held under Hex Trust’s regulated custody, allowing Solana blockchain users to quickly access and trade the altcoin. The launch comes with over $100 million in Total Value Locked (TVL), cementing Hex Trust’s wXRP as one of the largest wrapped assets on the network.
“This launch extends a proven wrapped-asset model to one of the world’s most established digital assets, opening secure, compliant, and major new avenues for $XRP holders in the multichain world.” Hex Trust wrote in its announcement post.
The custodian aims to serve multiple different purposes with xXRP on the Solana blockchain. For institutions, the launch is designed to attract market makers and liquidity providers. Hex Trust highlighted the wXRP/RLUSD trading pair as a key avenue for building deep liquidity, giving professional desks a straightforward way to deploy capital across Solana and other supported chains.
Wrapped XRP can also be integrated into Solana’s DeFi protocols, either as collateral or liquidity. According to the firm, this move paves the way for lending platforms, stablecoin issuers, and automated market makers to expand their offerings beyond their current token sets.
Retail traders and merchants are part of the plan, too. Hex Trust pointed out that wXRP can be used for swaps, lending, and yield strategies across supported chains. As officially a part of the Solana blockchain, investors will now be able to stake wXRP, borrow against it, or even pair it in liquidity pools for financial rewards.
Both Solana and XRP have been making waves in the institutional sector in recent months. When it comes to Wall Street exposure via ETFs, XRP products are yet to see a day with more outflows, while Solana ETFs are close to reaching $1 billion in total net assets after less than two months of trading.
Both Solana and XRP are expected to benefit from Hex Trust’s move. For Solana, the blockchain gains even more credibility as a multi-asset hub for institutional liquidity, DeFi protocols, and retail. Meanwhile, XRP traders unlock collateral and yield use cases on the fastest major blockchain in terms of real transaction throughput.
PS: If you want to learn more about wrapped tokens, check out our full guide on the matter.
