Foundation Solutions • Ecosystem Support
Building the Institutional Gateway for Flare
Flare Network required a regulated custody partner capable of bridging the gap between institutional-grade security and the compliance requirements of institutions looking to participate in its growing XRPFi ecosystem. Hex Trust stepped in as a key partner, becoming the first to issue a native stablecoin (USDX) and providing secure protocol-level engagement for the Flare (FLR) and FXRP minting to enable XRPFi participation.
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What Is XRPFi on Flare?
Unlocking XRP rewards on the Flare network
XRP is one of the world's most liquid and trusted digital assets; but the XRP Ledger does not natively support smart contracts. This means XRP holders have historically been unable to put their assets to work in DeFi: no staking, no lending, no collateral deployment, no rewards.
Flare changes this. Flare is the blockchain built to expand the utility of digital assets, starting with XRP.
Through its FAssets system, Flare allows XRP to be represented on-chain as FXRP — a non-custodial 1:1 representation of XRP on Flare — enabling it to be used across a full DeFi ecosystem of money markets, DEXs, vaults, stablecoins, and yield strategies.
XRPFi is the category this creates: XRP as programmable financial collateral. Not just a wrapped asset — an infrastructure-grade capital rail that puts dormant XRP holdings to work.
Flare is building the premier venue for XRPFi.
Hex Trust is the institutional gateway into it.
The challenge:
Finding an Institutional-grade partner
Institutions have significant interest in the Flare network but faced prohibitive barriers to entry. The primary obstacle was a lack of regulated custody solutions capable of supporting XRP-Fi participation, protocol-level smart contract interactions like delegations, rewards claiming, and wrapping, while retaining institutional-level security, transaction policies and guardrails to protect their assets
Key Requirements
Secure Storage:
HSM-backed, military-grade storage for FLR, SGB and stablecoins on the Flare Network.
FAsset Participation:
The ability to mint FXRP, hold them within custody and participate in Flare’s growing XRPFi ecosystem.
On-Chain Opportunities:
Put stablecoins to work without bridging from other chains and earn rewards from native P-chain staking.
DeFi Access:
The ability to interact with dApps without moving assets into vulnerable "hot" environments.
The solution:
Comprehensive Blockchain Integration
Hex Trust delivered a multi-layered implementation combining institutional custody, deep liquidity, seamless connectivity and reward generation
Protocol-Level Capabilities
Regulated Custody:
Full institutional-grade support for FLR and SGB assets utilizing FIPS 140-3 Level 3 certified HSM security.
Smart Contract Interaction:
Enabling clients to interact directly with Flare smart contracts to wrap FLR into wFLR, delegate WFLR, stake FLR and claim rewards.
FXRP Minting & Bridging:
Secure access to Flare’s non-custodial XRP wrapper. Clients use WalletConnect to interact with Flare’s portal to mint FXRP and deploy it within the ecosystem.
Native Stablecoin (USDX):
Access to USDX—the first native stablecoin on Flare and Songbird—providing a "wrapped USD" experience for instant on-chain liquidity.
Staking & Yield:
Native FLR P-Chain staking and participation in innovative yield opportunities such as XPool and Tpool.
DeFi Integration:
Secure access to Flare’s ecosystem of dApps via WalletConnect, maintaining assets within the regulated environment at all times.
Key Features & Benefits
Seamless Web3 Access:
Use WalletConnect to interact with Flare dApps, governance portals, and FXRP minting interfaces without moving assets out of regulated custody.
Operational Control:
Perform complex smart contract calls (delegating, reward claiming, wrapping, staking) through customized multi-sig authorization trees tailored to internal governance.
Institutional Minting:
Securely mint FXRP and other wrapped assets via Flare’s non-custodial portals while maintaining absolute key security.
Native Asset Support:
Immediate liquidity access via USDX for trading, collateralization, and yield-bearing strategies.
24/7 Monitoring:
Real-time monitoring of Flare and Songbird network activity to ensure continuous compliance and operational integrity.
Want to replicate this success for your network?
Contact our Foundations Solution team ⟩Outcome & Impact
Strategic deployment pathways for Foundation treasuries, VCs, and Asset Managers.
Unlocking Ecosystem Liquidity:
By becoming the first to issue the native USDX stablecoin on Flare and Songbird, Hex Trust established the essential "wrapped USD" infrastructure required for sophisticated on-chain strategies, including participation in Tpool and XPool rewards opportunities.
Active Protocol Engagement:
Hex Trust successfully transitioned institutional holders from passive storage to active participants. Clients can now securely engage in FLR Staking, Flare Time Series Oracle (FTSO) delegation and FXRP minting, unlocking new revenue streams within a regulated framework.
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Bridging Security & Velocity:
The integration effectively resolved the conflict between military-grade security and DeFi velocity. Institutions now enjoy seamless, audited access to over 17,000 dApps, ensuring they can capitalize on ecosystem growth without compromising their internal control environments.
Future-Proof Infrastructure:
As Flare continues to roll out support for additional non-smart contract assets — including BTC — Hex Trust will provide the secure infrastructure for institutions to participate in Flare’s expanding DeFi initiatives.
Frequently Asked Questions (FAQ)
What is FXRP?
FXRP is a non-custodial 1:1 representation of XRP on Flare, Hex Trust custody clients can mint FXRP and other FAssets directly within their custody account, leveraging their customizable, multi-approval custody workflows and ensuring private keys are held with the custodian.
Is the minting process custodial?
Hex Trust offers both custodial and non-custodial minting solutions based on your requirements.
For FXRP, the minting process is non-custodial by design — FXRP is a trust-minimized, 1:1 representation of XRP on Flare. Hex Trust governs all minting and redemption actions through its transaction policy engine, ensuring assets remain under custody even as they move into DeFi.
Can Hex Trust help me stake, delegate and claim rewards?
Yes. Our operational workflows can be configured to manage delegation and reward claiming in accordance with predefined client policies, ensuring seamless rewards management.
Can rewards be claimed automatically?
Yes. Our operational workflows can be configured to automatically claim rewards according to predefined client policies, ensuring seamless rewards management.