
Our goal is to introduce the Dogelon community to FRAX ETH Staking and help secure the ethereum network.
What is Frax?
Frax Finance is a stablecoin protocol that issues decentralized stablecoins such as FRAX (dollar-pegged), frxETH (ETH-pegged), and FPI (CPI-pegged). It also supports these stablecoins with its own subprotocols, such as Fraxlend, Fraxswap, and Fraxferry. With over $1 billion worth of FRAX in circulation and 128k live validators for frxETH, Frax has successfully created a self-sufficient DeFi microcosm. The aim is to boost developer engagement, construct ecosystem-complementing products, and promote the integration of Frax into existing protocols. Frax Home | Frax DocumentationHow does this work?
The Frax Ether system offers a straightforward, secure, and DeFi-native method to earn interest on ETH by leveraging the Frax Finance ecosystem. It involves three primary components:- Frax Ether (frxETH): frxETH is a stablecoin pegged to ETH, acting as an entry point for ETH into the Frax ecosystem. Each frxETH equals one ETH, with its peg defended to keep the exchange rate between 1.01-.9900 ETH per 1 frxETH.
- Staked Frax Ether (sfrxETH): By exchanging frxETH for sfrxETH, holders become eligible for staking yield. The yield, accrued from Frax Ether validators, is distributed to sfrxETH holders and can be redeemed by converting sfrxETH back to frxETH.
- Frax ETH Minter (frxETHMinter): This component allows the exchange of ETH for frxETH, bringing ETH into the Frax ecosystem and creating new validator nodes when possible.