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- The Flare Labs commenced the private beta of FAssets on the Coston test network to enable non-smart contract crypto assets like XRP, BTC, and DOGE to be used on multichain web3 protocols supported by the Flare network.
- Ripple’s XRP getting smart contract compatibilities through the Flare FAssets system could significantly attract more investors as both projects are highly liquid.
The Flare (FLR) network, an EVM-based layer one blockchain focused on providing DeFi developers with high-quality oracles from different chains, through the Flare Labs is on the cusp of introducing a revolutionary technology to non-smart contract blockchains like Bitcoin (BTC), XRP, and Dogecoin (DOGE) among many other with seamless cross-network smart contract services.
Notably, Flare Labs recently commenced a private beta of FAssets on the Coston test network intended to cover major features and scenarios. According to Flare Labs, anyone will be in a position to mint the non-smart contract assets into FAssets and begin earning rewards in decentralized applications on the Flare network.
Through the FAssets dashboard, users can seamlessly mint and redeem with the respective assets, engage with agents, participate in collateral pools, and get a clear view of the total value locked (TVL). In a bid to help mitigate the risks and stabilize the FAsset system, Flare Labs announced that multiple assets will be used to ensure high liquidity at all times.
Worth noting that the FAssets can be bridged to other networks using Flare Labs’ trustless bridge for smart contracts dubbed the LayerCake. However, the Flare network is willing to allow any other secure third-party bridge to ensure multichain compatibility of the FAssets.
The #FAssets system will give your BTC, XRP & DOGE a new purpose.
Earn yield in dapps on #Flare or bridge to other ecosystems using #LayerCake, our insured-in-transit bridging and cross-network composability protocol.
⛓️ https://t.co/11su9sWLIQ pic.twitter.com/FPx5aWAuTp
— Flare Labs (@Flare_Labs) December 11, 2023
Ripple XRP To Benefit from Flare Network’s FAsset Program
The Flare network intends to provide more utility for the FLR token holders as FAssets holders will be rewarded with the native coin once the program is introduced on the mainnet. Additionally, the FAssets will have a notable benefit to the XRP holders who opt to mint on the Flare network. Moreover, their assets will remain intact and still earn passively on a liquid Flare network that is highly integrated into the Web3 ecosystem. Hugo Philion, CEO of Flare Labs, recently noted;
More than 70 percent of the total value of all blockchain assets do not have smart contracts and therefore can’t be efficiently deployed in DeFi. FAssets are formally a Delta neutral synthetic with multi-collateral backing. They enable these legacy assets to be represented on a smart contract chain without requiring a centralized third party. For developers, it will be a new and trustless means to access new potential users and a large amount of currently untapped value,
Market Outlook and Price Action
The announcement did not have an immediate impact on FLR price as it is a long-term project that will continue to attract more users amid the mainstream adoption of digital assets and web3 protocols.
As for XRP, the large-cap altcoin is fast approaching the apex of a macro consolidation that will lead to a bullish break. Trading at $0.6054 XRP price has gained approximately 80 percent year-to-date.
