Monarq, Flare and Upshift Launch MXRPY: A Multi-Strategy XRP Yield Vault on Flare

Monarq XRP Yield Vault (MXRPY) is a new managed, multi-strategy yield vault for XRP on Flare. Built with Monarq Asset Management on Upshift's vault infrastructure, it puts FXRP to work across three return engines at once: options trading, basis and funding rate arbitrage, and onchain XRPFi deployment.

Starting today, XRP holders can access the Monarq XRP Yield Vault through Upshift.

What is MXRPY

The vault is a multi-strategy FXRP vault developed with Monarq Asset Management, a digital asset manager backed by FalconX, and built on Upshift's vault infrastructure. It brings institutional-grade strategy management, Flare's XRPFi infrastructure, and Upshift's institutional vault toolkit together in a single XRP-focused product.

The intent is straightforward: give XRP holders more ways to put XRP to work.

XRPFi on Flare has so far focused on fully onchain strategies such as lending, liquidity provision, staking, and structured DeFi positions. That remains a critical part of the ecosystem, but a mature XRPFi market should not depend on a single type of yield source.

Some users want fully onchain transparency. Others want managed exposure, liquidity-first designs, or strategies that can access both onchain and offchain markets.

"A real financial system needs a broader menu of options. MXRPY is built to be one of those options for XRP holders." — Shiliang Tang, Managing Partner, Monarq Asset Management

A new vault category for XRPFi

MXRPY is a multi-strategy vault built around FXRP, the representation of XRP on Flare. Rather than relying on a single venue or yield mechanic, the vault allocates across three return engines.

1. Options strategies. The strategy uses XRP as collateral through FalconX infrastructure, borrows BTC, and deploys that BTC into options strategies across venues such as Deribit and OTC structured products.

2. Basis and funding strategies. The strategy can use XRP collateral to borrow stablecoins and run market-neutral basis or funding-rate strategies across major crypto markets.

3. Onchain XRPFi strategies. A portion of the vault stays on Flare, using FXRP in native DeFi venues including lending markets, liquidity strategies, and other FXRP-based opportunities.

How MXRPY works

1. Deposit FXRP. Users deposit FXRP directly from their wallets into the Monarq XRP Yield vault.
2. Receive MXRPY. In return, users receive MXRPY, the vault's receipt token, which represents the deposited FXRP and any realized yield over time.
3. Capital is allocated across the three sleeves. The vault deploys FXRP across the options, basis, and onchain XRPFi strategies described above.
4. Withdraw when ready. When users request a withdrawal, their MXRPY tokens are burned and FXRP is returned to their wallet. Redemptions settle on a weekly cycle, every Friday, with the option to pay a small fee for instant redemption.

Why Monarq and Upshift

Monarq is a digital asset manager that already runs options and basis strategies as part of its core fund book. For MXRPY, they take on the same role: deciding how capital gets allocated across the three sleeves and executing the offchain trades directly. Flare provides the FXRP infrastructure and distribution. Upshift provides the vault rails.

“The Clearstar EarnXRP vault showed that there is real demand for XRP-denominated vaults on Flare. Upshift provided the infrastructure behind that launch, and we’re now expanding the model with Monarq, a second XRP vault with a different strategy profile and a broader set of yield sources.” — Ethan, Growth Lead at Upshift

XRPFi is expanding beyond a single product type. The next phase is about more choice across curators, execution styles, risk profiles, and yield mechanics, and MXRPY adds a new category to that menu: managed, multi-strategy XRP yield.

To participate, users need FXRP on Flare, which means minting or swapping into FXRP first. The initial deposit cap is set at 500,000 FXRP, letting the strategy scale responsibly while Monarq, Flare, and Upshift monitor deployment, liquidity, and early performance.
A standalone dApp is planned for a later release. The goal is to let users sign in directly from their XRPL wallet and allocate to strategies with a single signature, with Flare Smart Accounts handling the underlying execution.

A note on yield and risk

The displayed APR will fluctuate with strategy execution, market conditions, and deployment timing. Diversifying across return engines reduces risk but does not remove it. Strategy performance can vary, offchain execution carries counterparty and venue risk, onchain allocations are exposed to smart contract and oracle risk, and FXRP depends on underlying bridge infrastructure. In broad risk-off markets, sleeves that are normally uncorrelated can move together.

The bigger picture

Flare's XRPFi ecosystem is moving from early primitives into a broader financial stack. FXRP made XRP usable in DeFi. Firelight, Spectra, Morpho, Mystic, SparkDEX, Kinetic, and other protocols expanded what users can do with it. Now vaults are becoming a key interface for strategy access.

MXRPY extends that stack by bringing a managed, multi-strategy product into XRPFi: more vaults, more curators, more strategy types, and more ways for XRP holders to choose how their capital works.