TLDR:
- Hyperliquid enables spot XRP exposure for the first time via the wrapped asset FXRP.
- Flare’s FAssets system and LayerZero technology make XRP compatible with EVM environments.
- The initiative is part of the “XRPFi” strategy to expand XRP’s utility in decentralized finance.
Hyperliquid has just listed FXRP within its ecosystem, marking a historic milestone for the platform. This asset is a “wrapped” version of XRP issued by Flare Network. We are witnessing a landmark event, as this is the first time users have a pathway to trade XRP on Hyperliquid through a spot market, overcoming the platform’s previous limitations.
Until this announcement, XRP trading on Hyperliquid was restricted solely to perpetual futures contracts. The absence of a spot market was primarily due to infrastructure barriers: much like Bitcoin, XRP is not natively compatible with the Ethereum Virtual Machine (EVM).
However, thanks to Flare’s FAssets system and LayerZero technology, the new FXRP functions as an omnichain token that allows XRP Ledger liquidity to be brought into compatible networks.
Driving the XRPFi Strategy and Interoperability
With FXRP, it will not only be easier to trade XRP on Hyperliquid, but the asset will also integrate into a broader vision known as “XRPFi.” According to Dhruv Shah, DeFi analyst at Flare, the goal is to make FXRP the preferred representation of this asset across the entire decentralized finance sector.
This system allows the asset to move between chains with ease. Traders can purchase FXRP on Hyperliquid’s order book and then bridge it back to the Flare network to participate in lending protocols, staking, or liquidity provision.
Furthermore, Flare announced the upcoming launch of a dedicated bridge powered by Smart Accounts to enhance the user experience. This will enable one-click withdrawals from Hyperliquid directly back to the native XRP Ledger.
In summary, with this breakthrough, the crypto community finally has an efficient tool to trade XRP on Hyperliquid without relying on complex derivatives, eliminating the need for centralized bridges and opening the door to greater institutional adoption within the DeFi landscape. This integration places Flare and Hyperliquid at the forefront of high-value asset interoperability.
