FAssets v1.1 Launches on Songbird – Unlocking Scalable FXRP Minting
FAssets v1.1 launches on Songbird, marking a major upgrade of Flare’s interoperable protocol for bringing DeFi to XRP via FXRP, the composable version of XRP for DeFi. This upgrade unlocks greater liquidity, capital efficiency, and scalability, laying the groundwork for broader XRP DeFi adoption.
The launch comes at a critical moment as demand for XRP-powered DeFi grows — and FAssets v1.1 supports that potential with unlimited minting, lower capital requirements for agents, and a smoother path to scaling ahead of the upcoming FAssets launch on Flare mainnet.
Minting flow of FXRP
1. User Initiates Minting
A user on the XRPL sends their XRP to a registered agent’s address on the XRPL.
2. Agent Receives XRP & Provides Collateral
The agent, who operates on both XRPL and Songbird, receives the XRP and provides collateral on Songbird to back the minting. The collateral is a mix of XRP, SGB (FLR when on mainnet), and stablecoins. The total collateral value must be at least 1.3x the value of the FXRP being minted, as required by the safety collateral ratio. This ensures system security and protects against price volatility.
3. FXRP is Minted on Songbird
Once the collateral is locked and the receipt of XRP is verified via the Flare Data Connector, the system mints the corresponding amount of FXRP and delivers it to the user on Songbird.
4. Optional: Collateral Support from Community Pool
Additional collateral can be provided by liquidity providers via community pools. These providers contribute FLR (or SGB) to agents’ collateral reserves and, in return, earn a share of minting fees.
Note: "Songbird" will change to "Flare" once FAssets launches on Flare mainnet.
What’s new in FAssets v1.1?
Core Vault
At the heart of FAssets v1.1 is the Core Vault — an innovation designed to enhance system liquidity and scalability. The Core Vault acts as a liquidity hub, allowing agents to deposit XRP into the vault and unlock their FLR collateral on the Songbird and Flare networks. This collateral can then be used to mint more FXRP or be allocated elsewhere, enabling agents to refresh their minting capacity without needing new capital each time.
The Core Vault also serves as a safety buffer to help stabilize the system, especially during periods of high minting or redemption demand. More on its technical design here.
Note for users: The Core Vault is a feature primarily used by Agents and KYC-approved users. Full functionality — including access, transfers, and redemption execution — will be rolled out gradually starting today. This does not impact users’ minting capacity, which is currently capped at 750,000 FXRP and will eventually be unlimited.
Multi-layered security
Security remains paramount in FAssets v1.1. The Core Vault is protected by a multi-layered security model which combines escrow accounts and a multi-signature authorization. The escrow accounts time-lock vault funds to keep them secure, and the multi-signature authorization system is operated by trusted entities who have deeply invested in Flare’s long term growth. Together, they provide FAssets with a decentralized reserve to back the system and ensure transaction integrity while limiting daily exposure.
To further secure the system, XRP funds in the Core Vault are stored in escrow accounts, with portions released daily to minimize security risks. If a security threat is detected, the Flare Foundation can activate Alert Mode, freezing operations to prevent unauthorized access. Additionally, active bug bounties are running on Immunefi, and audits have already been completed.
Scalability
By reducing the capital burden on agents and creating a more scalable minting process, the system can now enable unlimited minting. FAssets v1.1 paves the way for broader adoption and continued ecosystem growth.
What are the key deployment details?
At launch, the Core Vault is managed by three multi-signature signers, with plans to expand to additional trusted parties who are aligned with the Flare ecosystem. To ensure a controlled rollout, the system will start with a 750,000 FXRP minting cap, which can scale up over time as demand and capacity increase.
To provide transparency, a dedicated user interface is available for users, and will provide real-time monitoring of the Core Vault’s XRP balance, inflows, and outflows. This data will offer visibility into vault operations for Flare agents and the community.
Ecosystem & Incentives
Unlike past deployments, given the improved capital efficiency and the plan for a long-term deployment of FXRP on Songbird, no incentives are planned for redemption.
However, the system will be supported by bi-weekly incentives for SGB collateral providers, which will be distributed as in rFLR via the Flare Portal.
These incentives are designed to encourage an active collateral supply and keep the system liquid and responsive to market demand. This ensures the system can scale with user demand and better support a more vibrant XRP DeFi ecosystem.
Retroactive airdrop
The FAssets Retroactive Airdrop will be distributed on May 28, 2025, as a gesture of appreciation to early community members who helped test the system on Coston. A total of $135,000 in rFLR will be distributed to the 10,000 most active users on Coston.
Eligibility Criteria:
- Held no more than the specified amount of each FAsset on the snapshot date (as defined per asset)
- Participated in FAssets activity on Songbird (v1 or v1.1, regardless of amount)
- Had a history of staking or delegation on either Flare or Songbird
Note: Claiming details will be shared closer to the distribution date.
FAssets v1 Wind-down
With the launch of FAssets v1.1 on Songbird, FXRP on v1 is being seamlessly upgraded to the new protocol. This transition requires no action from FXRP holders — your assets will remain unchanged (same contract and token address) and will continue to function as expected under v1.1.
At the same time, the wind-down of FDOGE on FAssets v1 will begin in 7 days, on May 21, 2025. On that date, minting interfaces for FDOGE on v1 will be deactivated across all supported platforms. Redemptions will remain available for an additional 30 days, after which all FDOGE functionality — including redemptions — will be fully deactivated.
FDOGE holders are encouraged to redeem as soon as possible via the minting dApps, or swap into other tokens on Blazeswap or Enosys if they don't have enough FDOGE to redeem a full lot.
Collateral providers do not need to shift their collateral manually. FAssets v1.1 is backward-compatible with v1, and their existing collateral setup will continue working through their current Agents.
Please note: While the FAssets system is designed to support non-smart contract assets like DOGE and BTC, v1.1 will initially launch with support for XRP only. Additional assets may be reintroduced in future updates.
Getting started
You can start minting FXRP today on either minting portal:
Note: FAssets v1.1 is currently live only on Songbird, Flare’s canary network. When you mint FXRP now, you're bridging your XRP to Songbird — a testing environment with a limited ecosystem and fewer live use cases. The primary goal of this launch is to test the robustness of the upgraded system. You're welcome to explore and experiment, but please be aware that there are no incentives for minting, redeeming, or participating in DEX pools.
The next milestone for FAssets is to launch on Flare mainnet, where they will unlock trustless XRP participation directly on Flare. The first protocol set to use FAssets on Flare mainnet is a restaking protocol that will offer XRP holders a way to earn additional rewards and welcome new DeFi opportunities. By bringing XRP’s deep liquidity into Flare’s fully composable DeFi ecosystem, FAssets could be the spark that ignites the XRPFi movement.