XRPL EVM: Bringing Ethereum smart contracts to the XRP ecosystem
XRP Ledger (XXPL) has remained at the forefront of the global blockchain ecosystem by solving diverse financial challenges, especially with remittances and cross-border payments.
Now, after years of testing and development, XRP Ledger is launching the XRP EVM, a sidechain compatible with the Ethereum ecosystem. This significant milestone, set for the second quarter of 2025, will bridge the gap between XRPL and the world of smart contracts in Ethereum, unlocking more opportunities for users.
Let's explore the XRPL EVM Sidechain and learn what it can do for the web3 world.
Key Takeaways:
XRPL EVM is a sidechain that brings EVM compatibility to XRP Ledger, opening the world of Ethereum to XRP Ledger's network.
XRPL can now tap into Ethereum's huge developer base and open its swift, affordable and secure payment network to the masses via decentralized apps (DApps) and other decentralized finance (DeFi) opportunities.
What is XRPL EVM Sidechain?
The XRPL EVM Sidechain is a new XRP Ledger (XRPL) sidechain that brings Ethereum virtual machine (EVM) compatibility to Ripple's ecosystem. It allows Ethereum-based smart contracts, tools and decentralized applications (DApps) to operate seamlessly within the XRPL environment, bridging the gap between Ethereum's vast developer base and XRPL's fast, low-cost and secure payment network.
In simpler terms, it allows Ethereum developers to deploy Solidity smart contracts on XRPL with minimal or no code modification. But what does it unlock for XRP users? Well, now you can explore a whole new universe of decentralized finance (DeFi), non-fungible tokens (NFTs), gaming and utility DApps that previously only lived on Ethereum-compatible chains.
As an independent EVM-compatible chain built using the Cosmos SDK, the XRPL EVM Sidechain leverages the speed and reliability of XRPL with the programmability of Ethereum (think of it as adding a programmable layer on top of XRP Ledger). Some notable DApps on XRPL EVM include MetaMask, Injective and Axelar.
Why does the union between XRP Ledger and Ethereum matter?
Ethereum and XRPL have historically served different use cases. Ethereum is known for its smart contract capability, having birthed robust DeFi and NFT ecosystems, but it struggles with scalability and transaction costs. On the other hand, XRP Ledger is celebrated for its speed, efficiency and enterprise integrations, especially in regard to cross-border payments. However, it lacks built-in smart contract functionality.
By creating a bridge between the two, Ripple unlocks a powerful synergy. The benefits include:
New developer inflow from the Ethereum ecosystem
Wider adoption of XRP as an asset usable in DeFi, staking and yield farming
Enterprise-grade web3 apps that don’t have to compromise between programmability and performance
This strategic interoperability enhances both ecosystems by creating a shared economy of liquidity, tooling and innovation.
XRPL EVM key features
The XRPL EVM Sidechain merges the best of Ethereum's smart contract capabilities and the XRP Ledger’s speed and efficiency in order to solve the blockchain industry's biggest pain points in terms of cost, scalability and interoperability. Below, we explore some defining features that make this sidechain a powerful tool for building next-generation DApps.
Ethereum compatibility
One of the XRPL EVM Sidechain's standout features is its compatibility with the EVM. For developers, this means that instead of having to learn a new programming model or adapt to a custom environment, you can use familiar Ethereum tools, languages and standards from the Ethereum ecosystem to build and deploy smart contracts on the sidechain without much modification. Furthermore, tokens on the sidechain follow the ERC-20 and ERC-721 standards, making the migration or expansion of existing DApps to the XRP Ledger a seamless process.
More importantly, Ethereum-native wallets such as MetaMask work seamlessly with the XRPL EVM Sidechain. This dramatically simplifies the onboarding process for end users and developers alike. Thus, Ethereum users can explore XRPL-based applications without needing to download new tools or convert tokens through complicated processes.
This enhanced compatibility significantly broadens the XRPL's reach by welcoming the vast Ethereum developer community and encouraging them to deploy new applications that benefit from the new sidechain’s speed and efficiency.
Cross-chain interoperability
The XRPL EVM Sidechain was built with interoperability at its core via the Inter-Blockchain Communication (IBC) Protocol, which connects it with Cosmos blockchain networks; and the XRPL EVM Bridge (powered by Axelar), which further expands its integration with other blockchains, such as BNB Smart Chain and Ethereum.
Developers and users can now move assets and data across networks, creating new possibilities for cross-chain applications and multichain liquidity. This means DApps built with the XRPL EVM can interact with other EVM-compatible ecosystems, enabling composability across chains and creating new synergies in DeFi, gaming and NFTs.
Instead of limiting developers to a single ecosystem, the XRPL EVM Sidechain empowers them to build applications that are interconnected and responsive to the broader blockchain landscape. Assets can originate on Ethereum, be used in a DApp on the XRPL EVM and return to another chain without complex custom bridges or centralized custodians. This kind of cross-chain fluidity enhances user experience and positions XRPL as a serious contender in the multichain future.
Bridge via Axelar
To facilitate this cross-chain communication, the XRPL EVM Sidechain integrates with Axelar, a leading provider of secure, decentralized cross-chain infrastructure. Axelar powers the XRPL EVM Bridge, which allows users to transfer assets such as wrapped XRP (wXRP), wrapped ETH (wETH), USDC and more between the XRP Ledger, XRPL EVM Sidechain and other connected blockchains.
Because the bridge interface is intuitive and designed for broad accessibility, it’s easy (for example) to connect your MetaMask wallet to select assets and move them between chains with just a few clicks. This ability — to move assets seamlessly between ecosystems — also improves capital efficiency. You no longer have to choose between networks, as you can fluidly operate across them, unlocking new use cases and maximizing the value of your holdings.
Security is a top priority in the bridge’s design. Axelar’s protocol leverages a decentralized validator set, in order to ensure that transfers are cryptographically verified and resistant to tampering. This architecture helps eliminate single points of failure, and makes cross-chain interaction far more reliable than traditional custodial bridges.
Low costs and high performance
While many blockchain platforms struggle with congestion and high transaction fees, the XRPL EVM Sidechain stands out for its exceptional efficiency. Built using the Cosmos SDK and a proof of authority (PoA) consensus model, the sidechain delivers near-instant finality and consistently low transaction costs.
This performance advantage makes the XRPL EVM Sidechain ideal for applications that prioritize speed and affordability. Whether it’s a decentralized exchange (DEX) processing hundreds of trades per second, a gaming platform requiring rapid transaction execution or an NFT marketplace handling large volumes of minting activity, the XRPL EVM Sidechain is built to scale without compromise.
Unlike the Ethereum Mainnet, on which gas fees can spike unpredictably, XRPL EVM offers stable and minimal costs that make it viable for microtransactions and high-frequency activity. This creates a welcoming environment for developers and users, who may be priced out of other networks.
Moreover, its PoA consensus mechanism ensures consistent block times and dependable network behavior, particularly in enterprise or regulated settings where performance guarantees matter. Validators are approved and accountable, allowing faster block production without sacrificing security or stability.
The XRPL EVM’s combination of speed, predictability and low fees empowers developers to create more interactive, user-friendly applications that can reach broader audiences. It also strengthens the business case for enterprises exploring blockchain use cases by establishing a platform that’s efficient enough to deploy production-ready solutions without the operational costs of traditional smart-contract platforms.
How does the XRPL EVM benefit XRP Ledger?
The XRPL EVM Sidechain brings transformative benefits to the XRP Ledger by unlocking previously out-of-reach features and use cases. While the XRP Ledger is known for its speed, reliability and low-cost transactions — especially for global payments — it has historically lacked native support for smart contracts. The XRPL EVM Sidechain fills this gap, introducing full programmability without altering the core integrity of the XRP Ledger itself.
By integrating EVM compatibility, the sidechain allows developers to build DApps that use the Solidity programming language, and to deploy them within an environment that runs parallel to the XRPL infrastructure while remaining connected to its ecosystem. This opens the door to a diverse range of new possibilities: DeFi, NFTs, gaming applications, DAOs and more.
Importantly, this Ethereum-compatible sidechain operates independently but connects directly to XRPL through a secure bridge. That means XRP can be moved seamlessly between the XRP Ledger mainnet and the EVM sidechain, giving it utility across a broader ecosystem of DApps. In turn, this increased functionality boosts demand for XRP as a transactional asset, enhancing liquidity and use case diversity.
The XRPL EVM Sidechain also positions the XRP Ledger to participate in the growing multichain economy. With cross-chain interoperability powered by Axelar and scalable infrastructure via Cosmos SDK, XRPL is no longer confined to payments — it becomes a fully extensible platform for next-generation web3 innovation.
In short, the XRPL EVM makes the XRP Ledger more programmable, scalable and interoperable without compromising its core strengths.
Closing thoughts
The XRPL EVM-compatible sidechain marks a significant milestone for the XRP Ledger, transforming it from a fast and efficient payments network into a fully programmable, interoperable blockchain platform. By introducing Ethereum compatibility to XRP's original strengths, the XRPL EVM opens the door to DeFi, NFTs and next-gen DApps.
This evolution benefits developers and enterprises, and strengthens XRP's role in the broader web3 ecosystem. As blockchain technology moves toward greater connectivity and utility, the XRPL EVM Sidechain expands the XRP Ledger's capabilities and positions it as a powerful player in the multichain future.
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