u.today
The long-awaited Flare Network token airdrop, $FLR, will take place today on major cryptocurrency exchanges, including Binance. According to social media reports, some users have already started receiving their tokens. In the meantime, $FLR will not be distributed and listed on Binance US, which reports that it needs more time to analyze the token more thoroughly.
The distribution of $FLR on centralized exchanges will take place among $XRP holders. According to the formula announced by the project, the initial airdrop will be 15% of the total size of the fund, and the remaining 85% will be used according to the proposal put forward by $FLR Foundation earlier.
Thus, for each $XRP held until the snapshot, about 0.15 $FLR will drop. A total of $FLR 4.28 billion will have to be distributed starting today. In this case, if the proposal to change the terms of distribution of the remaining 85% of tokens is rejected, about 1 $FLR will be airdropped for each $XRP held.
Why is $FLR airdropping to $XRP holders?
A key goal of Flare Network is said to be the desire to provide smart contracts support for $XRP. As a reminder, XRPL does not currently have native support for smart contracts, which is why $XRP does not have this functionality.
Through the creation of two-way bridges between networks, such as XRPL and Ethereum, Flare solves this problem. In doing so, the FXRP token, a kind of counterpart to WETH — which can be issued or redeemed by $XRP holders via a smart contract — is issued to ensure seamless operation.