Flare Networks, a blockchain network based on the Flare Consensus Protocol, has announced the launch of a new crypto asset for its native token Spark (XRP) holders.
According to Hugo Philion, the CEO of Flare Networks, now XRP token holders can use their digital assets or cryptocurrencies to redeem 1:1 amount of XRP tokens on FXRP.
With FXRP, XRP token holders can use and execute smart contracts with the XRP tokens on the XRP Ledger (XRPL).
XRPL is a decentralized cryptographic ledger that facilitates higher transactions compared to digital assets or Bitcoins or other cryptocurrencies.
Ripple partner Flare Networks, which works on a Turing Complete Federated Byzantine Agreement (FBA) protocol and integrates the Ethereum Virtual Machine, uses a utility fork to create XRP tokens. The XRP encryption scheme used by Flare Networks facilitates the usage of XRPL by XRP token holders.
Philion said that the XRP tokens serve as a security whether FXRP tokens should be issued or not. While its layer two solutions enable the creation, issuance, and usage of FXRP on the blockchain network in a trustless environment.
When asked about who will be most benefited from FXRP, Philion names XRP token holders. He also noted that just by mirroring the existing XRP token holders, Flare Networks could create 100 billion XRP tokens.
He further revealed how XRP token holders could get maximum returns on their XRP tokens. Every time an XRP token holder uses their crypto asset as collateral to issue and claim FXRP, they will get returns. In all this process, XRP token holders provide relevant data to Flare Networks’ time-series oracle.
Flare Networks allows XRP token holders to use their XRP tokens with smart contracts in a trusted manner and determine the future of Flare Networks.