Ripple-backed cryptocurrency startup Flare Networks has revealed it will airdrop over 45.8 billion Spark (FLR) tokens to XRP investors in the first half of next year, after taking a snapshot of the XRP network on December 12.
According to a blog post the firm published, since the snapshot of the XRP network was taken, Flare Network has been working with partners to determine all viable accounts eligible for the airdrop, combing through the results to determine how many tokens will be handed out.
The firm revealed it will not distribute tokens to Ripple-owned accounts but will distribute tokens to Rippleworks, a charitable organization founded by Chris Larsen, a co-founder of Ripple. Flare noted this meant “the amount calculated as held by Ripple Inc. is lower than originally assumed.”
As such, at a final ratio of 1.0073 FLR tokens per each XRP token investors hold, a total of 45,827,728,412 tokens will be distributed. The post reads:
So as to maintain the strict minimum 1:1 distribution ratio the distribution amount is therefore increased from the previously stipulated 45,000,000,000 to 45,827,728,412. The total FLR created remains 100,000,000,000 with the difference coming from the amount to be received by Flare Foundation.
Users who self-custody were eligible for the airdrop, as were those who held their tokens on cryptocurrency exchanges that support it. These include giants like Binance, OKEx, Bithumb, and Bitfinex, among others.
It’s worth noting Spark tokens will be used for governance on the Flare network through voting mechanisms, and token holders will be able to earn a return on their holdings by committing Spark tokens as collateral to secure the trustless issuance and redemption of FXRP, a protocol built to “safely enable the trustless issuance, usage and redemption, of XRP on Flare.”
Token holders will also be able to earn a return on their holdings by contributing data to the Flare time series oracle. The Flare Network itself integrates the Ethereum Virtual Machine (EVM) and does not derive safety from a token.
It will essentially bring Ethereum’s decentralized applications, smart contracts, and decentralized finance into the XRP ecosystem. It’s supported by Ripple’s investment arm RippleX, formerly Xpring.
Featured image via Pixabay.
