In a groundbreaking move, Flare has put forth a governance proposal that would make it a pioneer among layer-1 blockchains in capturing maximal extractable value (MEV) at the protocol level, rather than allowing it to be controlled by a select group of actors. This approach would redirect MEV revenue, which is currently estimated to be in the tens of millions on networks like Arbitrum, over $500 million on Ethereum, and up to $1 billion on Solana, into the protocol's token economics. The proposal is divided into three stages, starting with the transfer of block building from individual validators to a designated builder operated by the Flare Entity, with a fallback option to the current model if the builder is unavailable. The second stage involves moving block building into Flare Confidential Compute, making the process publicly auditable.

The final stage merges the builder and proposer into a single entity, transitioning existing validators to a verification role. Additionally, the proposal introduces the Flare Income Reinvestment Entity (FIRE), which would collect revenue from various protocol sources, including attestation fees, FAsset and Smart Account fees, confidential compute fees, and captured MEV, with the primary goal of reducing the FLR token supply through open-market buybacks and burns. Upon approval, several changes would take effect immediately, including a reduction in annual FLR inflation from 5% to 3%, a hard cap decrease from 5 billion to 3 billion tokens per year, and a 20-fold increase in the base gas fee, from 60 gwei to 1,200 gwei, which is expected to raise the estimated annual FLR burn from approximately 7.5 million to 300 million at current transaction volumes. Notably, Flare has strong ties to the XRP ecosystem, having conducted an airdrop to XRP holders in 2023, and its FAssets system has generated over 150 million FXRP, enabling smart contract functionality for assets on blockchains like XRPL that do not natively support it.

As of late March 2026, the network reports over $160 million in total value locked, with more than 887,000 active addresses.