Table of Contents
Ripple Set to Launch EVM-Compatible Sidechain for XRPL
Ripple Labs has announced plans to launch an Ethereum Virtual Machine (EVM)-compatible sidechain for the XRP Ledger (XRPL) by the end of the second quarter of 2025. This exciting development was confirmed during the opening of the XRPL Apex 2025 conference in Singapore, where Ripple’s product lead Jaazi Cooper and CTO David Schwartz highlighted the imminent deployment of the new infrastructure.
A Significant Milestone for XRPL
The sidechain will enable developers to run Ethereum-based smart contracts and decentralised finance (DeFi) applications directly on XRPL’s Layer 1 infrastructure. This capability will facilitate the integration of a wide array of applications that were previously unable to interact within the XRP ecosystem. Peersyst Technology, a validator for XRPL, reports that 87 entities, including DeFi protocols, oracles, wallets, and block explorers, are already involved in the sidechain project—many of which have no prior affiliation with XRP.
The new EVM chain is being developed using the evmOS framework, allowing it to leverage Ethereum’s smart contract capabilities while benefiting from XRPL’s cost-effective transaction infrastructure. While Flare Network is known for providing an EVM layer for interactions with XRPL, Ripple’s initiative aims to establish a dedicated EVM execution environment distinct from the base ledger.
To support transactions on this new sidechain, Wrapped XRP will be used as the native gas token, facilitating the movement of XRP across various chains while maintaining its central role within the ecosystem.
Ongoing Legal Challenges
The launch of this promising EVM-compatible sidechain comes at a critical time for Ripple, as the company continues to navigate its ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The SEC holds a settlement of US$50 million (approximately AU$76 million) that must be reported to the Appeal Court by June 16. Failure to meet this deadline could cause delays in the ongoing litigation, pushing proceedings out by an additional two months.
XRP Market Outlook
Currently, XRP is trading at about US$2.27 (AU$3.49), reflecting a slight daily decrease of 1.6%. However, over the last month, the value of XRP has dropped by more than 10%, as reported by CoinGecko.
The potential for the new EVM sidechain to attract developers and projects could serve as a catalyst for revitalising interest and innovation within the XRP ecosystem. As Ripple prepares for this significant transition, the community watches closely, not only for the technical implications but also for how it might affect Ripple’s legal standing and its position in the market.
In summary, Ripple’s initiative to introduce an EVM-compatible sidechain is a noteworthy step towards expanding the XRPL’s capabilities. Coupled with the potential delays in legal proceedings with the SEC, this development could very well reshape the landscape of decentralised applications on the XRP Ledger.
