Clearpool is expanding its institutional lending platform to the XRP Ledger (XRPL) with a new credit product that will use Ripple’s RLUSD stablecoin to fund working capital loans for fintech and payments companies.
The expansion is part of a governance proposal that would move Clearpool’s institutional credit infrastructure onto XRPL and introduce the first institutional credit product using RLUSD on the network. Cicada Partners is developing the product, and Ripple will participate as a limited partner in the credit fund.
The product is currently being tested on XRPL Devnet. Clearpool’s planned deployment depends on activating two XRPL standards, XLS-65 Single Asset Vaults and XLS-66 Lending Protocol, which remain in the amendment voting process. This means the institutional credit product is not yet live on the XRPL mainnet.
RLUSD Will Fund Institutional Working Capital Loans
The planned credit product will allow fintech companies, payment companies, and other eligible businesses to borrow working capital denominated in RLUSD, the Ripple-backed stablecoin built for payments and now moving into credit markets.
Borrowers will receive and repay loans in RLUSD, while XRP will continue to serve as the XRP Ledger’s native asset for transaction fees and account reserves. This separates the stablecoin used for credit from the network asset used to operate transactions on XRPL.
Clearpool says it will issue, service, and repay loans through its lending infrastructure on XRPL. The system is designed around curated credit pools, with the credit manager responsible for deciding which borrowers receive funding and monitoring their loans.
The structure is different from a conventional DeFi lending pool because the loans are based on institutional credit underwriting rather than relying solely on automated overcollateralization.
Clearpool, Cicada and Ripple Have Different Roles
The new product brings together three main parties with separate responsibilities.
Clearpool will build and operate the lending infrastructure. Its system will use the ledger’s Single Asset Vaults and Lending Protocol to manage credit pools and loan activity, testing how much transaction volume the network can handle as institutional activity ramps up. Clearpool says it has facilitated more than $950 million in institutional loans since 2021.
Cicada Partners will handle credit origination and management. The firm will source borrowers, set loan covenants and monitor borrower health. Cicada says it has underwritten more than $860 million in credit to date.
Ripple will participate as a limited partner alongside other institutional investors. Ripple’s role is to provide capital to the fund, not guarantee investor losses. The fund size and Ripple’s investment have not been disclosed.
Hex Trust is also involved in the broader XRPL expansion, with the institutional custodian identified as a partner for the initiative.
| Participant | Role in the Institutional Credit Product |
| Clearpool | Builds and operates the lending infrastructure |
| Cicada Partners | Sources borrowers, sets loan terms, and manages credit risk |
| Ripple | Participates as a limited partner and provides capital |
| Hex Trust | Provides institutional custody support |
| RLUSD | Asset used to issue and repay loans |
| XRPL | Settlement network for the credit activity |
Table 1. Roles in Clearpool’s proposed institutional credit product on XRPL.
XRPL Lending Standards Are Still Awaiting Activation
The product depends on two new XRPL features.
XLS-65 Single Asset Vaults
Designed to pool deposits from multiple lenders into token-specific vaults. Vaults can include permissioning and compliance controls for institutional participants.
XLS-66 Lending Protocol
Provides the infrastructure for fixed-term lending, including loan issuance, repayment, and related accounting. The proposed system supports off-chain underwriting, allowing credit managers to assess borrowers and set terms outside the ledger before recording the lending activity on XRPL.
Both amendments still need sufficient validator support to become active on XRPL mainnet. Until then, Clearpool’s product remains in development and testing rather than available to institutional borrowers and lenders on the main network.
RLUSD Gets a New Institutional Use Case
The credit product also gives RLUSD a role beyond payments and settlement. Because borrowers will receive and repay loans in RLUSD, the stablecoin will be used throughout the credit cycle.
Clearpool says this could connect existing RLUSD holders with institutional credit markets, while fintech and payments companies using RLUSD for working capital could increase activity on XRPL.
Clearpool’s governance proposal says RLUSD had surpassed $2.3 billion in circulation within two years of launch. The company sees the existing stablecoin user base and businesses already using RLUSD for payments as potential participants in the credit ecosystem.
What Comes Next
Clearpool is continuing to test the institutional credit system on XRPL Devnet while the XLS-65 and XLS-66 amendments go through the XRPL validator voting process.
If the required amendments are activated, Clearpool can move toward deploying the credit infrastructure on XRPL mainnet. The company’s broader expansion proposal, including the planned token migration, also requires its own governance process.
For institutions, the proposed system would provide access to RLUSD-denominated working capital loans through an XRPL-based credit infrastructure, with Clearpool handling the lending rails and Cicada managing borrower selection and credit risk. Ripple would act as a fund investor rather than a guarantee against losses.
What This Means for You: The Clearpool institutional credit product is not yet live on XRPL mainnet. Its launch depends on the activation of XLS-65 and XLS-66, while Clearpool’s broader XRPL expansion and token migration remain subject to governance.
