Kinetic

FXRP, the token that lets XRP function inside Flare’s DeFi ecosystem, marked its first anniversary on Thursday (September 24, 2026), a year after its initial 5 million-token mint cap sold out in roughly four hours. The milestone matters to institutional holders because it marks the maturing of a non-custodial bridge that now lets XRP back lending, collateral and yield products without leaving the XRP Ledger’s security model.

• FXRP launched September 24, 2025, as the first asset issued through Flare’s FAssets system.
• Its initial 5 million-token minting limit was exhausted within about four hours of going live.
• An August 2026 Morpho market built with Sentora lets FXRP serve as collateral to borrow RLUSD on Ethereum.

• 5M initial FXRP mint cap, filled at launch in hours
• 4 hrs time needed to exhaust that first mint limit
• 3% new annual FLR issuance rate, down from 5% under FIP.16

FXRP represents XRP as an ERC-20 token on Flare, backed by XRP on the XRP Ledger through the FAssets system. Flare’s oracle protocol, the FDC, verifies activity on the XRPL. The token’s launch-day demand, filling a 5 million-unit cap in about four hours, set the pace for a year of protocol building around it.

FXRP’s 5 Million Mint Cap Filled in Four Hours at Launch

The rush at launch reflected pent-up appetite for putting XRP to work onchain without wrapping it through a centralized custodian. That demand shaped the year that followed.

Kinetic introduced lending markets denominated in FXRP, while SparkDEX, BlazeSwap and Enosys built out liquidity venues for trading the asset. Firelight used FXRP to construct onchain cover, converting staked XRP into capital meant to back losses from exploits, oracle failures or bad debt.

Spectra added fixed-rate and yield-trading markets, Upshift’s earnXRP and Clearstar layered in vault-based strategies, and Enosys separately built a route for using FXRP as collateral for debt.

Morpho Market With Sentora Turns FXRP Into RLUSD Collateral

The most consequential expansion came in August 2026, when a Morpho market built with Sentora let holders supply FXRP as collateral to borrow RLUSD on Ethereum. That pushes FXRP past liquidity and yield use cases into credit markets.

FXRP also expanded onto Ethereum and Base during 2026, broadening the venues where the asset can be borrowed against or traded. FAssets v1.3, released in May 2026, added destination-tag minting, a feature Flare designed to simplify integrations for exchanges and custodians handling XRP deposits at scale.

Flare Plans Confidential Compute Rollout Through Songbird

Flare also rewrote its own token economics this year. Proposal FIP.16 cut annual FLR issuance from 5% to 3% and lowered the issuance ceiling from 5 billion to 3 billion FLR, tightening supply growth for the network’s native token.

Access from the XRP Ledger itself improved too. Flare Smart Accounts, integrated with the Xaman wallet in February 2026 through earnXRP, now let some users complete supported processes with a single XRPL signature.

In May 2026, Flare extended that access model to hardware-wallet users through a partnership with D’CENT Wallet, giving them entry to the Monarq XRP Yield Vault and earnXRP via two XRP Ledger signatures without holding a separate gas token. The integration folded into the newly formed XRP Alliance alongside Doppler, Banxa and Squid.

Flare is now building Flare Confidential Compute and Protocol Managed Wallets, with an initial deployment path planned through its Songbird network, a system the company says is designed to support assets beyond XRP.

The CCS read. FXRP’s move into Morpho as RLUSD collateral matters more than the anniversary itself: it gives XRP holders a credit line against a stablecoin without selling the underlying asset, the kind of balance-sheet tool institutional treasuries look for before adding exposure. Watch whether custodians adopt the destination-tag minting feature, since that is what would let regulated XRP holders reach these markets at scale.

Flare has not set a public date for the Songbird deployment of Confidential Compute and Protocol Managed Wallets, leaving open when, and to which assets beyond FXRP, that infrastructure will extend.