XRP Native Lending Protocol Nears Launch With Vaults Privacy And Repayments

TLDR

Table of Contents

XRP native lending protocol is nearing launch with single asset vaults and term lending.
The system includes automated repayments for term lending on the XRP Ledger.
Confidential transfers will use zero-knowledge proofs for added privacy on-chain.
Evernorth plans to support XRP growth through lending, liquidity, and DeFi activity.
Evernorth expects its Nasdaq-listed merger with Armada II to close in Q1 2026.

A native lending protocol for XRP is moving closer to launch. It will bring single asset vaults, term lending, and automated repayments to the network. The system will also support confidential transfers through zero-knowledge proofs. The rollout points to a wider push for on-chain financial tools built for institutions.

The update comes as Evernorth Holdings announced its public launch on October 20, 2025. The company also signed a business combination agreement with Armada Acquisition Corp II. After closing, the combined company is expected to trade on Nasdaq under the ticker XRPN.

Lending tools move closer to the XRP Ledger

The planned protocol is designed to add direct lending functions to the XRP ecosystem. Single asset vaults are expected to let users deposit one token type into structured pools. Term lending will give users fixed lending periods with automated repayments. This can reduce manual loan management and support routine settlement.

Confidential transfers are also part of the design. Evernorth said privacy features will use zero-knowledge proofs. That method can confirm transactions without exposing all details on-chain. The feature is aimed at users that need privacy while staying within a public blockchain system.

XRP’s native lending protocol is on the way! Single asset vaults. Term lending with automated repayments. Confidential transfers using zero-knowledge proofs. On-chain institutional infrastructure built at the protocol level. Get the 3 minute breakdown from @sagarCBO.
Learn more:… pic.twitter.com/QIQV1bmSIk
— evernorthxrp (@evernorthxrp) March 27, 2026

These tools fit into a larger effort to expand XRP Ledger use cases. The network has long focused on payments and settlement. Lending and privacy functions would add new options for capital management. They may also support more activity from institutions and large treasury operators.

Evernorth sets out an institutional XRP strategy

Evernorth said it plans to offer public market exposure to XRP through a listed vehicle. The company said it is not structured like a passive ETF. Instead, it plans to grow XRP per share through lending, liquidity provisioning, and DeFi activity. That model ties treasury management to on-chain use.

Chief Executive Officer Asheesh Birla said Evernorth aims to provide more than price exposure. He said the company plans to use both traditional finance and DeFi yield strategies. “This approach is designed to generate returns for shareholders while supporting XRP’s utility and adoption,” Birla said.

The company said XRP remains one of the few digital assets with a defined U.S. regulatory framework. It also pointed to XRP’s long operating history and liquidity. Evernorth said those factors support wider institutional use.

Deal structure and funding plans

The transaction is expected to raise more than $1 billion in gross proceeds. That total includes a $200 million investment from SBI. Ripple, Rippleworks, Pantera Capital, Kraken, and GSR are also listed as investors. Ripple co-founder Chris Larsen is also participating.

Evernorth said most net proceeds will fund open-market XRP purchases. It plans to build what it described as a leading institutional XRP treasury. Some funds will also go to working capital, corporate needs, and deal expenses. Armada II shareholders who do not redeem will receive Evernorth Class A shares on a one-for-one basis.

The boards of both companies have approved the deal. Closing is expected in the first quarter of 2026. The transaction still depends on shareholder approvals and other standard conditions.

Wider XRP ecosystem plans

Evernorth said it also plans to run XRP validators. The company said this will support network resilience and decentralization. It also plans to use Ripple’s RLUSD stablecoin as an on-ramp to XRP-based DeFi. That could support lending activity and collateral use.

Ripple is a strategic investor, but Evernorth said it will operate independently. Brad Garlinghouse, Stuart Alderoty, and David Schwartz are expected to serve as strategic advisors. Garlinghouse said Evernorth is aligned with Ripple’s long-standing focus on XRP utility in global payments.