Ripple will launch a new Ethereum Virtual Machine (EVM)-compatible sidechain for the XRP Ledger (XRPL) by the end of Q2 2025. Ripple CTO David Schwartz confirmed the development at Apex 2025 in Singapore. The sidechain is currently live on testnet and will move to mainnet once validator onboarding and technical checks are completed.
The chain uses the evmOS software stack and is being developed in collaboration with Peersyst. A bridge provided by Axelar will connect it to XRPL. Wrapped XRP (WXRP) will serve as the native gas token on the new chain.
More Than 1,000 Smart Contracts Already Deployed on Testnet
The EVM sidechain has more than 1,000 smart contracts deployed on its testnet since launch. This places it in direct competition with other EVM-compatible platforms that have already established large developer ecosystems. BNB Chain currently supports more than 3,000 decentralized applications and offers low transaction fees, usually under $0.30. Avalanche delivers fast finality, processing transactions in under two seconds, and supports customizable subnets tailored for institutional use. Polygon, a Layer-2 scaling solution for Ethereum, is widely adopted for its low fees and compatibility with leading DeFi protocols like Aave and Uniswap.
In contrast, Ripple’s approach offers Ethereum compatibility within the XRP environment. By integrating Solidity-based smart contracts without abandoning its core network, Ripple is trying to present XRPL as a hybrid that could appeal to developers seeking lower fees and faster execution while leveraging familiar Ethereum tools.
The EVM sidechain is only one piece of Ripple’s ongoing expansion. In recent months, the XRP Ledger has added EURØP — a MiCA-compliant euro stablecoin backed by Societe Generale — and USDB, a bond-backed stablecoin from Brazil’s Braza Group. Separately, Zeconomy issued a digital commercial paper (DCP) on XRPL, marking the first institutional-grade financial product on the network.
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Critics Target Ripple’s Regulatory Ties
Despite the technological advancements, Ripple continues to face criticism over its perceived alignment with centralized financial systems. Venture capitalist Gary Cardone recently accused the project of positioning itself as a tool for central banks, referencing ongoing speculation that the European Central Bank (ECB) may use XRP Ledger for its digital euro framework. Cardone likened XRP’s growing institutional influence to a “financial virus,” claiming that its adoption supports authoritarian financial controls.
Notably, XRP currently trades at $2.32, with a 1.59% gain over the past 24 hours and a 2.69% increase over the past week. The 24-hour trading volume stands at $2.91 billion, and the total market capitalization is approximately $136.73 billion.
