Crypto news report · source clearly identified
Firelight Secures $8 Million to Broaden DeFi Protection Beyond XRP
Firelight raises $8 M to expand its DeFi loss‑recovery protocol, now supporting Bitcoin and XLM alongside XRP, aiming to simplify risk mitigation for fintechs.
Firelight has closed an $8 million funding round as it broadens its DeFi protection protocol beyond XRP. The startup seeks to make decentralized finance less intimidating for fintech companies and investors by offering a faster route to recover losses from hacks.
New Asset Coverage
The protocol, previously centered on XRP, now includes Bitcoin and Stellar (XLM) as eligible assets for participants who provide capital to back the loss‑recovery pool.
Yield Opportunities for Asset Holders
Holders of XRP, Bitcoin and XLM can earn yield by staking their assets as collateral for the protection pool, receiving compensation when the pool is used to reimburse hack victims.
Target Users
Firelight’s solution is designed for fintech firms and individual investors seeking quicker compensation after a DeFi security breach, reducing reliance on lengthy legal or insurance processes.
Source & attribution
News Source
- Publisher
- CoinDesk
- Original date
- September 1, 2026, 1:56 PM
- Original headline
- Firelight raises $8 million, expands beyond XRP as it aims to make DeFi less scary for fintechs