Layer-1 chain Flare has introduced that FXRP now works as collateral on Derive, letting XRP holders commerce on-chain choices and perpetual futures from their very own wallets.
In keeping with a press launch shared with CryptoPotato, holders can mint FXRP by Flare’s FAssets system, deposit it on Derive, and run positions from a single Portfolio Margin V2 account, which covers hedging, premium era, and directional trades on the identical collateral.
Flare stated XRP holders beforehand had restricted methods to hedge a place or generate choices premium with out counting on centralized exchanges or custodians.
Choices Money Settle in USDC
Derive’s XRP choices are cash-settled in USDC. When a contract expires within the cash, the distinction is paid out in USDC, and the FXRP stays posted as collateral, so settlement strikes no underlying XRP. Sellers want sufficient USDC readily available to cowl that payout, they usually carry margin and liquidation danger on the place.
Derive is constructed on infrastructure from Lyra Finance and runs choices, perpetual futures, and spot buying and selling by one portfolio margin system. It traded extra 30-day notional choices quantity than every other on-chain venue tracked by DefiLlama, which places its complete worth locked close to $118 million.
“Choices are sometimes the final main market to develop round an asset, and XRP has been ready for the infrastructure,” stated Nick Forster, Co-Founder and Chief Government Officer of Derive. FXRP provides considered one of crypto’s largest holder bases “a reputable path on-chain,” he said.
XRPFi Stack Provides Derivatives
FAssets represents XRP on Flare by an overcollateralized system run by impartial brokers and the community’s information oracles, which pull cross-chain and real-world information by the Flare Time Sequence Oracle and the Flare Information Connector.
FXRP reached mainnet in September 2025, capped at 5 million tokens for its first week whereas Flare rolled out incentives, and the community stated that the cap was crammed inside 4 hours. Greater than 155 million FXRP had been minted inside seven months.
That provide already backs lending, borrowing, and yield tokenization. As CryptoPotato reported, FXRP deployed throughout DeFi purposes rose from 82 million to 144 million since February, with greater than 40 million XRP earned by Flare’s Sensible Accounts throughout almost 24,000 accounts. Flare has since listed an FXRP/USDC spot pair on Hyperliquid that lets the token transfer throughout chains.
“XRP has one of the vital dedicated long-term holder bases in crypto, and till now they’ve had no permissionless choices market to generate yield or hedge towards their place,” stated DeFi analyst Will Procheska.
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