The newly launched Firelight protocol introduces XRP staking rewards through new on-chain economic security primitives designed to protect DeFi assets from exploitation.
Enabling new use cases for XRP
Although XRP is one of the largest crypto assets by market capitalization, there are no native staking or yield opportunities. Firelight aims to add a new layer of value to XRP by offering a staking layer that leverages staked XRP to provide on-chain coverage. This coverage can be contracted by DeFi protocols to protect asset value in case of hacking or exploitation.
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Bridging the gap with institutional-level DeFi
DeFi just went through one of its strongest growth periods in history, with TVL exceeding $170 billion in October, driven primarily by institutional demand. At the same time, more than $1 billion is lost each year to DeFi exploits, and recent high-profile incidents like the Balancer exploit have heightened concerns about the safety of assets. While traditional finance has insurance baked into every market, DeFi still largely lacks this critical layer of protection, creating a major bottleneck for the next wave of institutional adoption. Firelight is designed to fill this gap by providing robust DeFi coverage, and the real and growing demand for this protection will help return value to XRP holders.
Security-first approach
Developed by Sentora and supported by Flare, Firelight leverages Flare’s FAsset to incorporate XRP into its protocol. Unlike many general purpose bridges, FAssets is fully decentralized, extensively audited, and provides a robust on/off ramp for XRP to DeFi.
Firelight completed three audits at launch. One by OpenZeppelin and the other by Coinspect, which also includes a bug bounty program supported by Immunifi to ensure maximum security for the protocol.
How Firelight brings XRP into DeFi
Firelight is launched in two phases. During the launch phase, XRP holders will be able to deposit XRP and receive stXRP, a 1:1 fully backed ERC-20 compliant Liquid Vault token.
stXRP acts as a transferable receipt for users’ deposits and can be freely used across the Flare DeFi ecosystem, from swapping on DEXs to serving as collateral for lending protocols or contributing to liquidity pools. Launch Vault participants are also eligible to earn Firelight Points.
In phase 2, DeFi cover is backed by staking. Secure high-impact use cases with real demand and reward stakers. This is the sole purpose of the protocol. Capital deployed in Firelight will be allocated to this DeFi cover mechanism.
Supported by industry leaders
Sentora as the technical service provider and Flare Network as the protocol that enables the creation of FAssets (such as FXRP) are the main contributors to Firelight. Both organizations are backed by Ripple and share a mission to expand the role of XRP in DeFi. Our combined expertise in secure interoperability, protocol design, and network operations provides Firelight with in-depth technical support and a clear path to long-term ecosystem growth, allowing XRP holders and developers to build, secure, and scale real-world applications with confidence.
