XRP is becoming collateral for real loans and the first market is already dominated by whales

XRP is beginning to support live dollar borrowing on Ethereum, though the market remains heavily concentrated among a handful of borrowers.A Morpho market backed by FXRP, a tokenized representation of XRP, had about 7.18 million RLUSD in outstanding loans against 10.76 million FXRP as of Oct. 1. The three largest addresses accounted for almost all of that debt, limiting how far the activity can be read as broad adoption.The market, launched in August through Flare, lets XRP holders mint FXRP, move it to Ethereum, and borrow Ripple's RLUSD stablecoin without immediately selling their XRP exposure.That adds a new credit use case for XRP, but also introduces bridge, collateral, and redemption dependencies that borrowers do not face when holding native XRP directly.Three borrowers dominate XRP’s emerging credit marketThe early borrowing activity is heavily concentrated among a small number of participants.The three largest addresses account for 93% of roughly $7.2 million in outstanding debt, giving a handful of positions outsized influence over the market's size. A large repayment could sharply shrink borrowing, while another loan from the same wallets could lift the total without bri...