Hassan Maishera
Flare has introduced Flare Confidential Compute on Songbird, its canary network, extending its data infrastructure to institutional information that cannot be published openly.
In a press release shared with Cryptowisser, the team stated that the system processes private inputs inside a Trusted Execution Environment, or TEE, and produces signed results that smart contracts can verify onchain.
Its first institutional application is a Proof of Reserves extension for Hex Trust’s USDX stablecoin. The deployment aims to make reserve coverage verifiable while keeping the underlying financial records confidential.
USDX Reserve Checks Combine Public and Private Data
Hex Trust provides two reserve components for the USDX application: a public reserves amount and restricted cash reserve information.
The extension reads those inputs inside the TEE, combines them, and compares the total with USDX supply across the ecosystem. It then signs a result indicating whether backing meets or exceeds a one-to-one coverage requirement.
Only that conclusion is published onchain. The individual reserve balances remain private.
This gives applications a reserve-coverage signal without requiring Hex Trust to disclose every figure used in the calculation. The result reflects the supplied reserve records and the extension’s defined coverage rule.
USDX is used as collateral in the FAssets system on Songbird, and its feed is migrating to the new reserve-based reference.
The output also provides decentralized exchanges with a basis for pricing USDX. Feed metadata indicates whether reserves satisfy the required coverage threshold at each update.
Hex Trust’s head of stablecoins, Ben Usinger, said the integration supports institutional adoption by enabling onchain verification of USDX reserves.
The implementation connects confidential computation with existing applications, giving them information they can check before relying on the stablecoin’s reported backing.
Verification Covers Instructions, Code and Machine Identity
FCC uses several checks to establish how an output was produced. Songbird data providers relay and sign instructions under Flare’s signing policy. A TEE executes an instruction only after it receives signatures representing a weighted majority of providers.
The provider set is the same one supporting Flare’s Time Series Oracle and Data Connector.
Supported code versions are identified by hashes of reproducible container images approved onchain. Machines running unapproved code cannot register, and updates must undergo the same approval process.
A participating TEE also presents a hardware attestation showing that it runs an approved version. The Flare Data Connector verifies that attestation, which is then recorded onchain.
The machine generates its signing key inside the enclave at startup. That key remains inside the enclave and signs outputs using the machine’s registered identity. A verifier contract checks the signature before other contracts can store or use the result.
FCC adds private computation alongside Flare’s existing public-data systems. The Time Series Oracle supplies public market information, while the Data Connector verifies data from other blockchains and Web2 systems. FCC handles information that needs to remain confidential.
Potential applications include lending systems combining public prices with private collateral coverage, tokenized funds calculating verifiable net asset values from undisclosed holdings, and credit or compliance checks publishing conclusions without exposing records.
These are prospective uses beyond the initial USDX deployment.
Initial Rollout Uses Foundation-Operated Machines
FCC’s Songbird launch follows acceptance of STP.13 in July 2026. Deployment on Flare will take place separately.
The initial TEE machines use Google Cloud confidential computing and are operated by the Flare Foundation. The architecture is intended to support additional operators and hardware vendors over time.
The extension framework will open to builders later in the bootstrap period. Documentation covering development, registration, and verification is available through the Flare Dev Hub.
Established in 2018, Hex Trust offers regulated institutional digital asset custody, staking and markets services to builders, investors and service providers. Get access to Hex Trust's comprehensive, secure, and regulated suite of services built on its fully integrated infrastructure.
Meanwhile, Flare is the blockchain for data, an EVM-compatible Layer 1 where data and compute expand what capital can do. Its enshrined protocols, the Flare Time Series Oracle and the Flare Data Connector, give smart contracts verified prices and facts from other chains and the internet. Flare Confidential Compute, deployed first on Songbird, adds logic that cannot run in the open, returning signed results that contracts verify onchain and that are authorized by the same provider set.
Through products including FAssets and Flare Smart Accounts, Flare enables assets such as XRP to take part in smart contract applications while remaining connected to their native networks.
