Introducing Firelight Protocol
We’re excited to share that Firelight Protocol is now live! This marks the beginning of a new era of DeFi activity that unlocks new utilities for previously idle assets, starting with XRP.
Firelight
At its core, the Firelight Protocol establishes a market for on-chain DeFi cover, where collateral contributed through Firelight helps provide protection for the broader DeFi ecosystem.
Enabling XRPFi
As the largest crypto asset without native on-chain reward mechanisms by market capitalization, XRP holds vast untapped potential. Currently there are very few use cases for XRP in DeFi, and even those that exist have limited liquidity or provide little opportunity to the XRP and broader crypto ecosystems. Firelight changes this entirely by enabling new, high-demand DeFi primitive secured by XRP contributions.
Security-Core of Firelight’s Mission
Security is at the core of the launch of Firelight and has been a critical part of the rationale behind the timing of the launch of the protocol.
Firelight has been audited by OpenZeppelin, Coinspect and has completed a bug bounty program supported by Immunifi. The FAssets bridge, which securely creates FAssets (e.g. FXRP) that represent underlying assets from non-smart contract networks on Flare Network has also been comprehensively audited. Find the full list of audits on Flare and FAssets here.
Firelight Launch Vault
As Phase 1 of Firelight is now live, participants can deploy FXRP into a Firelight launch vault. In return, depositors will receive stXRP, a liquid vault token fully backed by and redeemable for the underlying FXRP. This ERC-20 compliant token is a transferable receipt of their deposited FXRP deposits and can be deployed freely across Flare Network’s DeFi ecosystem.
stXRP holders are enabled to utilize this receipt tokens in multiple ways; swapping it on decentralized exchanges (DEXs), using it as collateral in lending protocols to borrow other assets, or deploying in liquidity pools to earn incentives. Participants can unlock additional layers of rewards through this, compounding participation benefits beyond the base protocol allocation opportunities.
In addition, depositors are eligible for receiving Firelight Points when deploying FXRP into the launch vault.
This phase is designed to build liquidity for the next stage of Firelight’s launch, where the assets in Firelight are used to support programmatic DeFi Cover for leading DeFi protocols.
How to Begin on Firelight Protocol
Get started on Firelight with 3 easy steps:
Connect your wallet, approve the connection request, and sign the verification message.
Select the Firelight vault, enter the amount of FXRP to deposit (or use MAX), then click Deposit & Stake and approve the spending request.
Confirm the final transaction in your wallet to complete deployment and receive stXRP.
Head to this article for a step-by-step guide to staking on Firelight.
Looking Ahead: Firelight’s Roadmap
Today is an integral step for Firelight. Users who signed up on our waitlist will automatically receive a 1.1x point boost on Firelight Points.
In the coming months, we’ll move into Phase 2 of the protocol launch, introducing support for multiple assets and activating the full programmatic DeFi cover mechanism. If you have any questions or concerns about Firelight or Phase 1, please reach out to us on Discord or X and we’ll be happy to help.
Happy staking!
