LendProtocol Brings Institutional-Grade Lending to XRP Ecosystem with Fixed 12% APR

LendProtocol is bringing institutional-grade lending to the XRP ecosystem by offering fixed 12% APR on XRP and RLUSD deposits. This fills a gap in the XRP Ledger, which has no native staking mechanism or protocol-level reward for holding XRP.

The platform's risk model absorbs all lending exposure, protecting depositors from borrower defaults. LendProtocol's institutional XRP lending model is structurally different from standard DeFi protocols like Aave or Compound, where depositors share default risk through pooled liquidity.

The 120% overcollateralization requirement provides a cushion against collateral price declines before a default produces a net loss for the platform. This means that borrowers must post collateral worth more than the loan itself, eliminating unsecured lending risk.