80% of XAO DAO’s XRP Treasury Set for Firelight Deployment
XAO DAO co-founder Santiago Velez introduced that proposal 66 had handed, authorizing the decentralized autonomous group to deploy 80% of its XRP treasury into Firelight, a DeFi protocol centered on decentralized insurance coverage and yield.
The choice would put a big share of the DAO’s XRP holdings to work in a method meant to generate returns for members whereas contributing capital to safety companies for decentralized finance.
XAO DAO Vote Approves XRP Deployment to Firelight
In his announcement, Velez described the proposal as, to his information, the primary time a DAO had deployed treasury funds right into a multichain DeFi technique combining decentralized insurance coverage with yield era.
He thanked co-manager Fabio Marzella, Flare Networks co-founder Hugo Philion, and the Flare staff for creating the Flare Smart Accounts know-how, in addition to Firelight for the chance.
The plan connects XRP with Firelight by way of Flare Smart Accounts, which give a route for XRP holders to make use of DeFi functions. In an October 6 publish, Flare described Firelight as a approach to put XRP behind a safety layer for DeFi with a single XRPL signature.
Firelight posted the identical day that anybody deploying XRP by way of the characteristic ought to join a supported XRPL pockets and select to mint and deposit FXRP into the Firelight vault, including: “So bullish on this.”
Meanwhile, XRP itself was altering arms at $1.34 on the time of writing, having barely shifted in 24 hours however dropping practically 4% of its worth within the final seven days and over 11% throughout one month. It can also be greater than 44% decrease than the place it was a yr in the past, with the present value a 63% dip from its $3.65 all-time high attained in July 2025.
Governance Changes Aim to Broaden Community Participation
The treasury vote follows a wider push to enhance how XAO DAO members participate in selections. In an October 22 replace, the group announced that a number of proposals had handed in current weeks and launched a neighborhood discussion board.
Marzella additionally outlined updates to the governance app, together with proposal administration, dialogue instruments, XRP and RLUSD donation monitoring, help for a number of languages and searchable data.
As CryptoPotato reported in August, XAO DAO was preparing governance adjustments that included pockets delegation, revised quorum guidelines and neighborhood mini-grants. Delegation would let members assign their voting energy to others, whereas adjustments to quorum guidelines had been meant to deal with inactive wallets that might hinder proposals.
The broader concern was the right way to flip neighborhood participation and funding into lasting exercise throughout the XRP Ledger ecosystem. That query additionally arose after XRPL infrastructure staff Gen3 introduced on August 12 that it could wind down its retail merchandise Aigent.run and AxiomProtocol, citing weak demand and rising infrastructure prices.
The publish 80% of XAO DAO’s XRP Treasury Set for Firelight Deployment appeared first on CryptoPotato.
