Frax Finance Weekly Report #04 | July 2021
A round-up of Frax Finance updates in a few minutes.
Project Updates:
1)[Collaboration]: StakeDAO teams up with Frax Finance to launch Passive FRAX Strategy. Users can earn a nice APY on their $FRAX. StakeDAO is a non-custodial platform where you can easily grow, track, and control your assets right from your wallet.
2)[Achievement]: The FRAX Curve pool broke a record reaching $100m+! FRAX is the first algorithmic stablecoin on Curve Finance to reach over $100m+ stableswap liquidity.
3)[Collaboration]: FRAX Bonds went live on OlympusDAO (OHM)! Olympus is an algorithmic currency protocol based on the OHM token. It introduces unique economic and game-theory dynamics into the market through asset backing and protocol controlled value.
4)[Development]: veFXS was updated with multiple improvements and it does not reward yield to people with unlocked/withdrawable veFXS so that average lock times should rise now. Also the reward rate of veFXS was increased to account for more AMO profits and revenue!
5)[Development]: FRAX Convex AMO development in progress. Frax team is developing an AMO on Convex Finance.
6)[Collaboration]: The Saddle D4 Pool went Live. FRAX was added in the Saddle D4 pool which featured 4 permissionless, decentralized stablecoins.
7)[Collaboration]: FRAX collaborates with Free TON to boost the development of Free TON’s DeFi ecosystem. FRAX and Free TON team up to make decentralized finance more functional and affordable for everyone. The Frax team will deploy its protocol to the Free TON ecosystem so that its stablecoin, Frax, and governance token, FXS, can be minted natively on Free TON.
8)[Audit]: Frax Finance protocol, AMOs, & smart contracts had a Trail of bits security audit which found ZERO exploitable/funds-at-risk issues. Our improvements to future code and further info on their suggestions will be published soon!
9)[Proposal]: Our Community member Mark11 wrote the FIP - Repropose prior FIP for purchasing ETH with AMO profits.
- FIP -TBD: To redirect the 50% of FXS1559 burns to purchase ETH from Uniswap and place it in FXS-ETH LP for 60 days. After 60 days, community can vote to extend this ETH purchase program indefinitely or re-instate burns. This would be a trial run to see how reinvesting AMO profits into the protocol goes.
10)[Voting]:Vote to incentivize the saddle.finance D4 decentralized stablecoin pool (FRAX, alUSD, LUSD, FEI) with liquidity incentives alongside the other protocols.
Link: https://snapshot.org/#/frax.eth/proposal/QmTfv1AGYQ9KeYMa4NbCHi8rhcyjjKgMJ3v2kscp2fgZcE
About Frax Finance
Frax is the first and only stablecoin with parts of its supply backed by collateral and parts of the supply algorithmic. The stablecoin (FRAX) is named after the “fractional-algorithmic” stability mechanism. The ratio of collateralized and algorithmic depends on the market’s pricing of the FRAX stablecoin. If FRAX is trading at above $1, the protocol decreases the collateral ratio. If FRAX is trading at under $1, the protocol increases the collateral ratio.
FRAX: is the stablecoin targeting a tight band around $1/coin.
Frax Shares (FXS): is the governance token which accrues fees, seigniorage revenue, and excess collateral value.
Website | Docs | Telegram | Twitter | Discord | Governance | Github
