Ripple’s New DeFi Roadmap Renews Toolkit on XRPL

With a new native lending protocol and privacy-focused upgrades, Ripple is positioning the XRP Ledger to compete with rivals for a share of institutional capital.

Written By:
Luca Stephan

Reviewed By:
Jahnu Jagtap

Ripple'S New Defi Roadmap Renews Toolkit On Xrpl

Ripple detailed a development roadmap for the XRP Ledger (XRPL) on September 22, 2025, introducing a suite of tools aimed at institutional finance. The announcement has revealed XPRL as a competitor to other enterprise-focused blockchains in the intensifying race to tokenize real-world assets (RWAs) and attract regulated financial firms. 

The upgrades, set to roll out with the upcoming XRPL Version 3.0.0 pending validator approval, focus on compliant on-chain credit, advanced RWA tokenization, and privacy.

New toolkit for institutional finance

According to a company blog post, the roadmap’s centerpiece is a native lending protocol designed to create on-chain credit markets. This protocol, outlined in the XLS-66 specification, will allow for pooled lending and underwritten credit directly at the ledger level.

The plan also introduces the Multi-Purpose Token (MPT), a new standard intended to represent complex financial instruments like bonds. In terms of compliance, Ripple mentioned recently implemented tools, including Credentials for decentralized identity verification and Deep Freeze, which allows token issuers to freeze assets in flagged accounts.

Looking further ahead, the company announced plans to integrate Zero-Knowledge Proofs (ZKPs), a technology that enables confidential transactions. According to the roadmap, the first application will be confidential MPTs, which are targeted for the first quarter of 2026.

Overview of XRPL’s position

These new tools place the XRP Ledger in more direct competition with established institutional platforms. The native lending protocol enters a market with solutions like Aave on Polygon and Trader Joe on Avalanche. Although Ripple focused on these new finance and security features for this report, since all major enterprise blockchains are working to develop robust confidentiality solutions.

Similarly, Ripple’s move intensifies the competition for the multi-trillion dollar RWA tokenization market. The success of its protocol-native approach versus the more flexible, application-heavy ecosystems of Ethereum Virtual Machine (EVM) compatible chains remains to be seen. 

Ripple’s new roadmap shows a strategy to get more penetration in Decentralized Finance (DeFi) market, especially RWA. The success of this strategy will depend on the actual adoption of these new tools by financial institutions and how effectively XRPL can draw liquidity away from its competitors.

Also Read: Sei Development Foundation Onboards Jamie Finn to Drive RWA Growth


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Luca Stephan is passionate about technology, finance, and innovation, building his career at the intersection of business, AI, and digital assets. With experience in content creation, digital marketing, and research, he now writes for CryptoTimes, where he brings curiosity, clarity, and an analytical perspective to the world of cryptocurrencies and blockchain.
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Jahnu Jagtap is a Research Analyst with over 5 years of experience in crypto, finance, fintech, blockchain, Web3, and AI. He holds a BSc in Mathematics and is certified in Blockchain and Its Applications (SWAYAM MHRD), Cryptocurrency (Upskillist), and NISM Certifications. Jahnu specializes in technical, on-chain, and fundamental analysis, while also closely tracking global macro trends, regulations, lawsuits, and U.S. equities. With a strong analytical background and editorial insight, he drives content that delivers clarity and depth in the fast-evolving world of digital finance.