Flare has officially launched FXRP on its mainnet, enabling holders of XRP to mint a fully composable, non-custodial version of the token for deployment across various decentralized finance (DeFi) protocols. This landmark rollout marks the commencement of what Flare refers to as an “XRP DeFi awakening,” with the initial phase capped at 5 million FXRP for the first week, paired with liquidity incentives designed for a robust and measured launch.
The Flare network’s FAssets protocol has introduced its first live iteration with FXRP v1.2, which allows XRP holders to create a wrapped version of their asset on Flare. Ensuring stability is a central focus, leading to the decision for a limited minting cap in the early stage. To enhance liquidity, the Flare Foundation is allocating rFLR token incentives to key decentralized exchange pools, such as SparkDEX and BlazeSwap, with targeted annual percentage rates in some liquidity pools reaching as high as 50%.
For XRP holders, the pathway to accessing this new functionality involves transferring XRP to a self-custody wallet that supports both the XRP Ledger and Flare, such as Bifrost or Ledger. Once they have completed this step, users can interact with specific minting agents to generate a one-to-one representation of their XRP on the Flare network. Flare emphasizes that this process is non-custodial, in contrast to prior wrapped token solutions that depended on centralized entities.
Flare highlights the significance of FXRP as more than just a gateway for XRP into DeFi. The asset is engineered to function as a foundational layer within Flare’s DeFi stack, allowing seamless integration as collateral for lending protocols like Enosys Loans, facilitating the minting of XRP-backed stablecoins, and introducing liquidity into various pools without the need for custom integrations.
In addition, the imminent launch of liquid-staked XRP, known as stXRP, is anticipated to enhance the ecosystem further by producing a yield-bearing derivative. This move is part of what Flare defines as the “XRPFi flywheel,” designed to broaden the range of financial products available through the network.
The successful implementation of FXRP stands as a testament to Flare’s larger strategic vision. According to their public roadmap, the FAssets system aims to incorporate other major non-smart contract assets, with Bitcoin and Dogecoin earmarked as the next candidates for integration.
As excitement builds around this announcement, Flare’s native token, FLR, has experienced a surge in value. Data from CoinMarketCap shows that FLR, with a market capitalization of approximately $1.9 billion, is trading near $0.027, having seen a price increase of nearly 13% within 24 hours of the FXRP rollout. This momentum reflects growing interest in both the Flare platform and the opportunities it presents for the DeFi landscape.
