This document is for discussion purposes only and does not constitute an invitation or offer to sell, solicit, or otherwise to subscribe for any securities or tokens.
Overview
Clearpool is evolving. This proposal seeks approval to expand the protocol to the XRP Ledger and rebrand the token from CPOOL to CLEAR. The existing CPOOL token will migrate to CLEAR on a 1:1 basis, while additional CLEAR will be issued to fuel this next chapter of growth. The protocol aims to become the Morpho for private credit on the XRP Ledger by capturing the institutional yield opportunity on XRPL and continuing to increase TVL and secure institutional adoption.
CPOOL’s rebrand to CLEAR reflects Clearpool's evolution from single-borrower liquidity pools into a multi-borrower settlement and risk-transparency layer for institutional credit. A new ticker that is a commitment as much as a label: terms, allocations, and risk made transparent and auditable, not buried in a black box.
This proposal outlines the strategic rationale, tokenomics, and implementation timeline.
Ripple's Strategic Commitment to Clearpool
Ripple has committed significant investment to launch Clearpool's yield products for XRPL and RLUSD, anchoring the protocol's first credit vaults. On 20 August 2026, Ripple, Cicada Partners and Clearpool jointly announced an institutional credit fund that lends RLUSD, Ripple's dollar stablecoin, to fintech and payments companies for working capital, settled on the XRP Ledger (joint announcement here, CoinDesk coverage here). It's the first institutional credit product to use RLUSD on XRPL.
- Clearpool builds and operates the lending infrastructure: curated credit vaults on XLS-65 Single Asset Vaults, with loans issued, serviced and repaid through the XLS-66 Lending Protocol.
- Cicada Partners is a fund general partner and credit pool manager. It sources borrowers, sets covenants and monitors credit, with more than $860M underwritten to date.
- Ripple is a limited partner in the fund, together with other institutional investors, and its capital anchors the first vaults. It invests alongside the other LPs and does not guarantee against losses.
- Loans are made and repaid in RLUSD. We're currently testing on XRPL Devnet, and XLS-65 and XLS-66 are in the amendment voting process.
What it means for Clearpool
- We're the rails. Every loan in the fund is originated, serviced and repaid through Clearpool vaults. Cicada picks the borrowers; we run the infrastructure. That's the curator model working as designed, with the first curator in place before the vaults go live.
- Validation from Ripple. A direct financial commitment from the company that built the ledger validates the market opportunity and positions Clearpool as the flagship lending protocol on XRPL, before the primitives are live on mainnet.
- Distribution comes with the deal. RLUSD crossed $2.3B in circulation within two years of launch. Its holders are the depositor base a credit vault needs, and the fintechs already using it for payments are the borrower base. Clearpool is in front of both from launch, with the stablecoin's issuer invested in the product.
The Market Opportunity
XRP is the third-largest ecosystem token by market cap, yet has not experienced the DeFi activity of other major blockchains. This is changing.
In December 2025, the XRP Ledger v3 introduced institutional-grade infrastructure: native lending (XLS-66d), automated market maker (XLS-30), and compliance tooling. Institutional capital is actively seeking yield. Evernorth, the largest XRP treasury holder, has announced plans to generate yield through the XLS-66 Lending Protocol.
However, now the timing is critical. XRPL lending infrastructure is about to be launched, and institutional capital is moving into the ecosystem. Protocols that establish themselves early capture disproportionate benefits through network effects and liquidity accumulation. Early movers become the default choice for users and capital providers.
The Vision: Becoming the Morpho of XRPL
The digital asset lending landscape has been transformed by Morpho, which scaled to become the world's second-largest lending protocol with over $14 billion in deposits and $5 billion in active loans by pioneering a modular, curator-driven model. Rather than relying on a monolithic lending pool, Morpho utilises single-asset vaults where independent Curators act as risk officers, defining investment theses, setting risk parameters, enabling and disabling yield sources, and dynamically routing liquidity across isolated lending markets. This architecture gives depositors granular risk control and competitive yields, while offering institutional borrowers flexible, tailored access to capital. The result is a protocol that is simultaneously trustless, efficient, and scalable across any asset class.
Clearpool is uniquely positioned to replicate this proven curator model, but apply it to real-world private credit with offchain underwriting and structuring. The launch of XRPL v3.1.0 introduced native on-ledger credit markets through two complementary primitives: XLS-65 Single Asset Vaults (SAVs), which pool capital from multiple depositors into token-specific vaults with optional permissioning and compliance controls; and the XLS-66 Lending Protocol, which enables fixed-term, uncollateralized loans with off-chain underwriting, first-loss capital buffers, and automated repayment. Together, these form the infrastructure backbone for institutional credit on XRPL, precisely the market Clearpool has spent years building for.
Just as Morpho curators manage single-asset vaults on Ethereum and route liquidity to isolated lending markets, Clearpool curators will manage XLS-65 vaults on XRPL, dynamically allocating capital to institutional borrowers via the XLS-66 Lending Protocol.
On top of RLUSD, Clearpool is also working with large capital allocators, distribution partners and asset managers, to launch a series of XRP yield products on both XRPL and EVM.
The current EVM private credit marketplace will keep operating, while the team is working on also bringing the curator model to Ethereum and other chains.
Competitive Advantage: Hex Trust
Hex Trust has incubated Clearpool and been a close strategic partner since 2021. Ripple is one of Hex Trust’s largest investors and its close partner for its payments business and DeFi expansion. Hex Trust is the official issuer of wrapped XRP (wXRP) and launched wXRP in December 2025 across Ethereum, Solana, and Optimism.
This creates significant synergies between Clearpool, Hex Trust and Ripple:
- Hex Trust acts as custodian partner for lenders and borrowers of the XRPL Lending protocol (XLS-65 / XLS-66). This requires special integrations and asset support, which other custodians are currently not offering.
- Hex Trust can facilitate seamless capital flows between Clearpool on XRPL and institutional capital on other blockchains.
- Clearpool can integrate with wXRP liquidity pools, enabling institutional investors to access yield products through familiar ERC-20 infrastructure.
- Hex Trust's regulated custody and compliance infrastructure ensures Clearpool meets institutional standards.
CLEAR Tokenomics & Treasury Recapitalisation
The CPOOL token, launched in October 2021, has reached its structural maturity. With 99% of the supply vested and growth reserves depleted, the protocol requires a recapitalisation.
For the protocol to succeed in this next phase of growth given current market conditions, it requires a strategic treasury replenishment to secure investment, product development and adoption. A well-resourced incentive program is essential to attract early liquidity, drive user adoption, and build trading volume during the protocol's launch phase. Concurrently, a strategic treasury provides the necessary capital to secure high-value partnerships, fund technical integrations, and support broader ecosystem development. Finally, a dedicated contributor bracket ensures the protocol can continue to attract and retain the specialised talent required to build institutional-grade infrastructure.
This resource allocation is highly governed by strict vesting parameters. By releasing these resources gradually over multi-year schedules, the protocol ensures that capital deployment is closely aligned with long-term value creation and sustainable ecosystem growth.
CLEAR will continue to be issued on ERC20 natively but part of the new supply will be bridged to the XRP Ledger, as yield products on XRPL need to distribute incentives to users. Simultaneously, CLEAR must be accessible on other blockchains where institutional capital operates. The ERC-20 version enables trading, staking, and participation on Ethereum and other chains. This creates a unified token functioning across multiple ecosystems while maintaining functionality on XRPL.
As for the rebrand CPOOL to CLEAR, we opted for a subtle brand refresh and a ticker that better describes the protocol's function. Clearpool is evolving from single borrower liquidity pools into the settlement and risk-transparency layer for institutional credit, matching lenders, risk curators, and borrowers. CLEAR stands for transparent settlements, terms and allocations, where risk, terms and repayments are explicit, rather than obscured in a black box pool.
Token Supply Allocation
The new CLEAR token supply will be allocated as follows:
| Category | Allocation | Purpose | Unlock Mechanism |
|---|---|---|---|
| Existing Token Holders | 70% | 1:1 conversion from legacy CPOOL token | 100% unlocked at Migration |
| Treasury & Partnerships | 15% | Strategic fundraise, partnerships and initiatives | 35% unlocked at Migration, remainder linear vesting over 36 months |
| Ecosystem Incentives | 10% | Liquidity mining, ecosystem development, user/TVL acquisition | 35% unlocked at migration, remainder linear vesting over 36 months |
| Contributors | 5% | Compensation, talent acquisition, operations | 12-month cliff, remainder linear vesting over 24 months |
| Year | Current | 0 (at Swap) | 1 | 2 | 3 |
|---|---|---|---|---|---|
| New Unlocks | 125,000,000 | 77,380,952 | 113,095,238 | 113,095,238 | |
| Treasury & Partnerships | 75,000,000 | 46,428,571 | 46,428,571 | 46,428,571 | |
| Ecosystem Incentives | 50,000,000 | 30,952,381 | 30,952,381 | 30,952,381 | |
| Contributors | 0 | 0 | 35,714,286 | 35,714,286 | |
| Total Circulating | 1,000,000,000 | 1,125,000,000 | 1,202,380,952 | 1,315,476,190 | 1,428,571,429 |
Existing token holders receive 70% of the new total supply through a 1:1 conversion, which is fully unlocked at the migration event (“Migration”) to preserve their immediate utility and majority stake in the protocol.
The treasury and partnership allocation (15%) funds strategic initiatives, unlocking 35% at TGE for immediate usage, followed by a 36-month linear vest. These cover a strategic fundraise and product development, security and custody, as well as partnerships with distribution partners for our yield products.
The 10% ecosystem incentive allocation is the core mechanism for capturing first-mover advantage and traction, as well as providing deeper liquidity to the CLEAR token. The vesting schedule is structured to balance immediate market impact with sustainable long-term growth.
5% of the new CLEAR total supply has been earmarked for current and future contributors. Several new members have joined the leadership team, and we believe it’s important to have them aligned in our mission to build the leading credit protocol. Contributors will have a cliff of 12 months with subsequent linear vesting over 24 months.
This predictable release schedule provides clarity to token holders and ecosystem participants, ensuring that the protocol has the necessary resources to execute its multi-year roadmap while mitigating the risk of sudden supply shocks.
Protocol Growth Incentives
Clearpool is introducing an annual inflation rate to support the protocol’s development beyond the coming years. Each year, between 1% and 4% of the total CLEAR supply may be issued as incentives for liquidity provision, staking/governance, and yield incentives to enhance product adoption. The inflation rate is adjusted according to the protocol’s growth needs: a lower rate is used when TVL and participation are strong, while a higher rate may be used to attract additional liquidity and users. This approach provides flexible incentives while limiting unnecessary dilution for token holders.
Buyback and Burn Mechanism
As Clearpool generates fees from successful products, a buyback and burn mechanism creates sustained buying pressure over time. Buybacks were temporarily paused while structural changes were made to the protocol and its product suite. This governance approval and its resulting strategic investments will allow Clearpool to resume and even expand the buyback program.
All fees generated by Clearpool products flow into a protocol treasury. 50% of protocol fees are allocated to purchasing CLEAR from the open market. All CLEAR tokens purchased are permanently burned, reducing the total circulating supply. The remaining protocol fees are distributed to active participants and stakers. This model ensures that resource deployment is intrinsically tied to protocol success.
Implementation Timeline
Next Steps
We invite community feedback for 14 days via the governance forum. Following the feedback period, this proposal will go to a tokenholder vote on Snapshot. More details to come.
To stay up to date with CLEAR's journey, follow these channels:
- Twitter: https://twitter.com/ClearpoolFin
- Website: https://clearpool.finance
- Documentation: https://docs.clearpool.finance