Dubai, United Arab Emirates, December 18th, 2024,
Chainwire
Flare, the blockchain for data, has officially launched FXRP
(tokenized XRP) on Songbird, its canary network. This milestone
marks the next phase in rolling out Flare Labs’ FAssets protocol,
designed to enable non-smart contract cryptocurrencies such as XRP,
BTC, and DOGE to engage with DeFi applications.
During the open beta, the FAssets system facilitated over
263,000 mints, 395,000 redemptions, and engaged more than 48,000
participants. These trials provided valuable insights, highlighting
user behavior and system performance under various network
conditions. Following a successful beta phase, FXRP’s rollout on
Songbird introduces several enhanced features to ensure real-world
usability and security ahead of their deployment on the Flare
mainnet.
With FXRP now live on Songbird, testing shifts from simulated
environments to real-world scenarios, incorporating Songbird's
native token (SGB) and Flare’s US Treasury-linked stablecoin,
USDX, as collateral. This phase aims to refine system
resilience and usability while accurately reflecting behavior in a
live network environment. One of several key improvements is the
introduction of an optional "handshake" mechanism, enabling
permissioned agents to verify the identity of addresses performing
minting and redeeming.
FXRP on Songbird incorporates several safeguards to ensure a
controlled and transparent testing environment including a $2
million issuance cap per asset to maintain controlled liquidity. In
addition, Flare Labs is underwriting up to $300,000 in potential
losses to protect participants during testing.
Developers can now explore the parameters of the Songbird test
on the Flare Developer Hub, while users can access the minting app
through multiple platforms to avoid reliance on a single point of
access. During the testing period on Songbird, there will be the
opportunity for participants to earn retroactive rewards including
a $260,000 rFLR airdrop for minting, redeeming, and additional
incentives in SGB for trading FAssets. A minimum testing period of
six weeks per asset has been earmarked to thoroughly evaluate the
system.
The FAssets system represents a breakthrough in bridging
cryptocurrencies like XRP, BTC, and DOGE with DeFi. By enabling
these assets to interact with decentralized applications, Flare
unlocks new opportunities for trading, lending, and staking while
maintaining high levels of security through its
overcollateralization model.
Unlike traditional custodial solutions or multisig setups,
FAssets ensure each bridged unit is backed by greater collateral
value, minimizing trust dependencies and over-leveraging risks.
This model is further supported by automated liquidation mechanisms
to protect users and maintain system integrity.
The Songbird phase lays the foundation for the subsequent
deployment of FAssets on the Flare mainnet. Rigorous testing on
Songbird will identify edge cases and refine the system to ensure
it performs seamlessly under all conditions.
Flare’s long-term vision includes integrating non-smart contract
cryptocurrencies into DeFi markets, transforming them into liquid,
programmable assets that can fully participate in the decentralized
economy. This step brings Flare closer to realizing its vision of
becoming a liquidity hub for integrating assets across
multi-trillion-dollar markets.
About Flare
Flare is the blockchain for data: an EVM smart
contract platform specifically designed to support data intensive
use cases, including Machine Learning/AI, RWA tokenization, gaming
and social. With decentralized, enshrined oracles secured at the
network layer, Flare is the only smart contract platform optimized
for decentralized data acquisition: price & time series data,
blockchain event & state data, and web2 API data. By giving
developers trustless access to the broadest range of data and data
proofs at scale and for minimal cost, Flare expands the utility of
blockchain and supports the development of new and improved use
cases.
Contact
Sam
Kramer
sam@marketacross.com