- Users can stake their Ripple crypto in DeFi protocols, creating new use cases for XRP and offering a low-risk way to generate passive income via the Firelight infrastructure.
- The 28th FlareDrop event has rolled out, providing Wrapped FLR (WFLR) holders with periodic airdrops of newly minted FLR tokens.
Flare is ushering in a new way for XRP holders to stake their tokens as it works toward increasing XRP’s use cases in the DeFi area. However, at the same time, the FLR price is facing a downturn. It was down to $0.01766 on Thursday, June 5, after an intraday drop of 2.66%.
Flare Reveals New Opportunities with XRP Staking
Hugo Philion, co-founder of Flare Network, recently revealed how staking Ripple’s XRP could open opportunities for new use cases of the asset by the platform. This feature makes it possible for people to earn returns by getting their XRP in the form of Liquid Staked Tokens (LSTs). You can employ these tokens on many DeFi protocols to earn more rewards.
The staking process can be done on Firelight, an infrastructure developed together with leading institutions. The platform is expected to help actively validated services, which focus on supporting decentralized trust and verification in blockchain. According to Philion’s statement, the idea is to provide users with a respectable, risk-free way to earn passive income, in addition to helping XRP’s primary functions in the payment industry.
Moreover, the XRP staking coincides with the launch of the 28th FlareDrop event. With the current system, people owning Wrapped FLR (WFLR) are getting a percentage of the newly minted tokens. People who hold 100 WFLR tokens will receive 2.14 FLR each time, promoting more involvement through staking or wrapping. The airdrop system is meant to encourage people to take part actively in Flare.
As reported by CNF back in April, Flare launched XRPFi, a new decentralized finance (DeFi) ecosystem for XRP holders. XRPFi enables users to stake, lend, borrow, and trade XRP-based assets seamlessly on the Flare blockchain.
Flare Price Technicals & Analysis
Nonetheless, despite the optimism around XRP staking options, the FLR price continues to struggle. The technical indicators point out that FLR is in a bearish position right now. Earlier this week, the altcoin hit the 200-day EMA at $0.019 and dropped after that, making a total loss of over 7%. Currently, the RSI reading is at 44, exposing a stronger downward move after a previous increase in prices.
The immediate support is shown as $0.016 on the chart, which matches the 23.6% Fibonacci retracement band from the December high of $0.035 to the low of $0.011 seen this year. A prolonged period of closing below this price can make way for new drops, leading to the next main support zone at $0.011.
On the contrary, if the FLR price rises above $0.020, which was the highest in May, it could be an indication that the trend is switching. It could point towards an uptrend, potentially hitting the $0.023 mark, which corresponds to the 50% Fibonacci level.
