XRP News Today: Ripple to Launch Ethereum-Compatible Sidechain on XRPL in 2025

Coin WorldWednesday, Jun 11, 2025 8:04 pm ET
1min read

Ripple has confirmed the launch of an Ethereum-compatible sidechain on the XRP Ledger (XRPL) in the second quarter of 2025. This sidechain, developed in collaboration with Peersyst using evmOS, will enable Ethereum smart contracts to be executed on the XRPL infrastructure. The sidechain will utilize wrapped XRP (wXRP) as gas tokens for transaction fees, allowing developers to write and deploy Solidity code on a network that settles transactions in under four seconds.

This integration is facilitated by Axelar’s bridge, which ensures secure asset transfers between Ethereum and the new sidechain. This setup maintains XRPL’s fast transaction speeds and low fees while providing access to Ethereum’s extensive library of decentralized applications. Developers will benefit from a familiar Ethereum environment paired with XRPL’s proven throughput, making it easier to build DeFi services, nonfungible token platforms, or custom financial products.

Testnet activity has already shown early interest from projects outside the core XRP community. Contributors are experimenting with cross-chain decentralized applications (dApps) and liquidity pools, indicating that this launch could be one of XRPL’s largest developer onboarding events. This move is expected to attract teams that previously bypassed XRPL due to the lack of smart contract support.

For institutional investors, the EVM sidechain adds a layer of flexibility. They can now hold XRP on Ledger and deploy it in Ethereum-based protocols without leaving Ripple’s network. This capability could streamline assets under management and reduce counterparty risk linked to external bridges.

Overall, the upcoming sidechain marks a significant step in the evolution of the XRP Ledger. It blends XRPL’s payment strengths with Ethereum’s contract versatility. As it moves from testnet to mainnet, the focus will shift to security audits, cross-chain governance, and tooling support to ensure a seamless launch in the second quarter of 2025.

This development is part of Ripple's broader strategy to expand the use cases of the XRP Ledger and attract more developers and projects to its ecosystem. By integrating Ethereum's smart contract capabilities, Ripple aims to position the XRP Ledger as a more versatile and competitive blockchain platform. This move is expected to increase the adoption of XRP, as more developers and projects will be able to leverage its speed and low transaction costs.

Ripple continues to push the boundaries of utility and institutional adoption. Key developments include a $100 million institutional yield initiative built on XRP Ledger, boosting DeFi utility. VivoPower has also entered a partnership to generate passive income through XRP-based assets, showcasing enterprise-level utility. These enhancements position XRP as a bridge between traditional finance and decentralized infrastructure, especially if regulatory clarity improves.