Skip to content

Commit 11dd935

Browse files
authored
fix(docs): update fassets cv overview (#916)
2 parents 3af975f + d2b1b8f commit 11dd935

File tree

1 file changed

+2
-2
lines changed

1 file changed

+2
-2
lines changed

docs/fassets/5-core-vault.mdx

Lines changed: 2 additions & 2 deletions
Original file line numberDiff line numberDiff line change
@@ -26,13 +26,13 @@ It addresses a critical challenge in cross-chain systems: **protecting user fund
2626

2727
### Why the Core Vault?
2828

29-
- In **FAssets v1**, every agent had to keep the underlying asset (e.g., XRP) in their own wallet.
29+
- In **FAssets v1**, participating agents were required to individually hold sufficient redemption assets (e.g., XRP) in their wallets.
3030
- To prevent theft, agents needed to be heavily overcollateralized - they had to lock up more value than they could ever profit from stealing.
3131
- This worked, but it limited minting capacity and made the system capital-inefficient.
3232

3333
The **Core Vault** changes this model:
3434

35-
- Instead of holding XRP in their own wallets, **agents can transfer underlying assets into a shared, insured vault**.
35+
- Instead of personally holding redemption assets (e.g., XRP), participating agents can now utilize a shared, insured, non-custodial vault.
3636
- The vault is **multisig-controlled** and governed by Flare, so agents cannot unilaterally take the funds.
3737
- Because theft is structurally prevented, agents no longer need extreme levels of overcollateralization.
3838

0 commit comments

Comments
 (0)