[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]  CryptoJournaal [@CryptoJournaal](/creator/twitter/CryptoJournaal) on x 18.5K followers Created: 2025-07-09 11:13:18 UTC #FraxShare ( $FXS ) - #Explainer 💡 What is FraxShare ( $FXS )? FraxShare, denoted by the ticker symbol $FXS, is the governance and value-accrual token of the Frax Finance ecosystem. Frax Finance is an innovative DeFi protocol known for its unique approach to stablecoins. The protocol was conceived in 2019 by American software developer Sam Kazemian and launched in November 2020, along with co-founders Travis Moore and Jason Huan. The goal of Frax Finance is to offer a scalable, decentralized, and algorithmic form of money as an alternative to digital assets with a fixed supply, such as Bitcoin ( $BTC ). The Frax ecosystem revolves around two key tokens: 🔸FRAX: This is the protocol's stablecoin, designed to maintain a stable value of around $X. 🔸FXS ( #FraxShare ): This is the governance token that accrues value from fees, seigniorage revenue (profit from issuing new tokens), and excess collateral value. #CryptoInnovation ⚙️ How does Frax Finance and $FXS work? Frax Finance introduced the first fractional-algorithmic stablecoin model, a hybrid approach that distinguishes stablecoins from earlier categories such as fully fiat-backed stablecoins (e.g., USDT), over-collateralized crypto-stablecoins (e.g., DAI), and pure algorithmic stablecoins without collateral (e.g., TerraUSD before its collapse). This model combines partial collateral backing (usually with stablecoins like USDC) with algorithmic mechanisms to keep the price of FRAX stable around $X. 🔸 The role of $FXS $FXS plays a crucial role in this system: 🔸Governance: $FXS holders have voting rights to make important decisions within the Frax protocol, such as adjusting the collateralization ratio, setting fees, and adding or changing collateral pools. 🔸Collateralization and stability: When FRAX is minted (issued), the system requires a mix of collateral (e.g., USDC) and burning $FXS, depending on the collateralization ratio (Collateral Ratio, CR). 🔸Value accrual: $FXS accrues value from various sources within the ecosystem, such as protocol fees, seigniorage (profit made by minting FRAX for less than $X and selling it for $1), and excess collateral value. 🔸Staking and rewards: Users can stake their $FXS in the protocol to earn rewards, often in the form of FRAX, additional $FXS, or other tokens. #TokenEconomy 🪙 Key Features: 🔸 Fractional-Algorithmic Mechanism The collateralization ratio (CR) of FRAX is dynamic and determined by market conditions. If demand for FRAX is high and the price rises above $1, the CR lowers, meaning less collateral and more $FXS burning is required to mint FRAX. If the price of FRAX drops below $1, the CR increases, requiring more collateral and less $FXS burning, while $FXS is minted during redemptions. 🔸 Features of $FXS 🔸Total Supply: The maximum supply of $FXS is capped at XXX million tokens at launch, with no inflation schedule. 🔸Circulating Supply: As of March 31, 2025, the circulating supply is approximately XXXX million $FXS. 🔸Distribution: More than XX% of the $FXS supply is distributed over several years to liquidity providers and yield farmers. #DeFiBoom 📜 History and Development: 🔸 Foundation: Frax Finance was conceived in 2019 and launched in 2020. Since then, the protocol has positioned itself as a pioneer in the DeFi space with its innovative stablecoin model. 🔸 Recent Developments: Frax Finance has further expanded its ecosystem, for example with the launch of Fraxtal, a Layer X solution, and frxETH, a liquid staking derivative for Ethereum. #CryptoHistory 💸 Tokenomics 🔸 Total Supply: The maximum supply of $FXS is XXX million tokens, with no inflation schedule. 🔸 Market Capitalization: The market capitalization is around $XXX million USD, with a fully diluted valuation (FDV) of approximately $XXX million USD. 🔸 Trading Volume: The 24-hour trading volume varies between $10-15 million USD. #Scalability ✅ Advantages of FraxShare ($FXS): 🔸 Innovation: The fractional-algorithmic model offers a fresh perspective on stablecoins, combining stability with efficiency and decentralization. 🔸 Growth Potential: As Frax Finance grows, the demand for $FXS could increase, potentially boosting its value. 🔸 Revenue Streams: $FXS holders directly benefit from protocol income, such as fees from FraxLend and AMOs. #DeFiApplications ⚠️ Disadvantages and Challenges: 🔸 Market Volatility: $FXS is subject to price fluctuations, as seen in the decline after the Terra/LUNA crisis in 2022. 🔸 Dependence on FRAX: The value of $FXS is closely tied to the success and stability of FRAX. #CryptoChallenges 🛠️ Applications and Adoption: Frax Finance has collaborations with strategic partners such as BlackRock, WisdomTree, and Securitize, which could accelerate the adoption of FRAX and $FXS in both DeFi and traditional finance. #DeFiAdoption 📊 Price and Market Performance: The price of $FXS fluctuates around $2-$3 USD, with a market capitalization of approximately $XXX million USD. It is currently a promising altcoin within the DeFi ecosystem. #MarketVolatility 🔮 Future Outlook: The future of $FXS looks promising, with the launch of new products like Fraxtal and frxETH, which could drive demand for $FXS. #DeFiFuture 🎯 Conclusion: FraxShare ( $FXS ) is a versatile altcoin that offers both governance and investment opportunities within the innovative Frax Finance ecosystem. The fractional-algorithmic model, combined with a growing infrastructure, makes it a unique project in DeFi. For investors who believe in the future of decentralized stablecoins and DeFi adoption, $FXS may be an interesting option, provided they accept the volatility and risks inherent in altcoins. #CryptoConclusion 🤝 New Partnership: WEEX Exchange x @CryptoJournaal We’re excited to announce our official partnership with WEEX — and that means massive rewards for YOU! 💥 💰 New users can claim up to $XXXXXX USDT in total bonuses: 🔐 XX USDT → secure your account 📥 Up to XXXXX USDT → deposit to futures wallet + start trading 📊 Up to XXXXXX USDT → futures trading volume rewards 🎯 All rewards stack – up to $30K total! 🟡 Use invite code bwbg to activate your bonus 👉 #Exchange #Rewards #Trading #Futures #Leverage 📚 Useful Resources and Additional Information: Want to dive deeper into the world of #FraxShare or looking for the latest updates and developments? These links will help you stay up-to-date: 🔹GitHub: 🔹Official Website: 🔹X (Twitter): @fraxfinance #CryptoResources #StayInformed ⚠️ Important Notice: 🔹 This post is purely for educational purposes and not financial advice! 🔹 Only invest what you are willing to lose: #Crypto-investments can be volatile, and you may lose part or all of your investment. 🔹 Always do your own research (#DYOR): Thoroughly research #crypto-assets, platforms, and wallets before investing. 🔹 Understand the risks of volatility: The value of #cryptocurrencies can change rapidly, so be prepared for price fluctuations. 🔹 Keep your private keys safe: Losing your private keys can result in losing access to your crypto-assets. 🔹 Use trusted platforms: Make sure you trade crypto via trusted and regulated exchanges or wallets that meet necessary security standards. #CryptoRules #CryptoSafety #CryptoRisks #Dyor  XXX engagements  **Related Topics** [fxs](/topic/fxs) [stablecoins](/topic/stablecoins) [protocol](/topic/protocol) [finance](/topic/finance) [token](/topic/token) [governance](/topic/governance) [ticker](/topic/ticker) [fraxshare](/topic/fraxshare) [Post Link](https://x.com/CryptoJournaal/status/1942904892852429311)
[GUEST ACCESS MODE: Data is scrambled or limited to provide examples. Make requests using your API key to unlock full data. Check https://lunarcrush.ai/auth for authentication information.]
CryptoJournaal @CryptoJournaal on x 18.5K followers
Created: 2025-07-09 11:13:18 UTC
#FraxShare ( $FXS ) - #Explainer
💡 What is FraxShare ( $FXS )?
FraxShare, denoted by the ticker symbol $FXS, is the governance and value-accrual token of the Frax Finance ecosystem.
Frax Finance is an innovative DeFi protocol known for its unique approach to stablecoins.
The protocol was conceived in 2019 by American software developer Sam Kazemian and launched in November 2020, along with co-founders Travis Moore and Jason Huan.
The goal of Frax Finance is to offer a scalable, decentralized, and algorithmic form of money as an alternative to digital assets with a fixed supply, such as Bitcoin ( $BTC ).
The Frax ecosystem revolves around two key tokens:
🔸FRAX:
This is the protocol's stablecoin, designed to maintain a stable value of around $X.
🔸FXS ( #FraxShare ):
This is the governance token that accrues value from fees, seigniorage revenue (profit from issuing new tokens), and excess collateral value.
#CryptoInnovation
⚙️ How does Frax Finance and $FXS work?
Frax Finance introduced the first fractional-algorithmic stablecoin model, a hybrid approach that distinguishes stablecoins from earlier categories such as fully fiat-backed stablecoins (e.g., USDT), over-collateralized crypto-stablecoins (e.g., DAI), and pure algorithmic stablecoins without collateral (e.g., TerraUSD before its collapse).
This model combines partial collateral backing (usually with stablecoins like USDC) with algorithmic mechanisms to keep the price of FRAX stable around $X.
🔸 The role of $FXS
$FXS plays a crucial role in this system:
🔸Governance:
$FXS holders have voting rights to make important decisions within the Frax protocol, such as adjusting the collateralization ratio, setting fees, and adding or changing collateral pools.
🔸Collateralization and stability:
When FRAX is minted (issued), the system requires a mix of collateral (e.g., USDC) and burning $FXS, depending on the collateralization ratio (Collateral Ratio, CR).
🔸Value accrual:
$FXS accrues value from various sources within the ecosystem, such as protocol fees, seigniorage (profit made by minting FRAX for less than $X and selling it for $1), and excess collateral value.
🔸Staking and rewards:
Users can stake their $FXS in the protocol to earn rewards, often in the form of FRAX, additional $FXS, or other tokens.
#TokenEconomy
🪙 Key Features:
🔸 Fractional-Algorithmic Mechanism
The collateralization ratio (CR) of FRAX is dynamic and determined by market conditions.
If demand for FRAX is high and the price rises above $1, the CR lowers, meaning less collateral and more $FXS burning is required to mint FRAX.
If the price of FRAX drops below $1, the CR increases, requiring more collateral and less $FXS burning, while $FXS is minted during redemptions.
🔸 Features of $FXS
🔸Total Supply:
The maximum supply of $FXS is capped at XXX million tokens at launch, with no inflation schedule.
🔸Circulating Supply:
As of March 31, 2025, the circulating supply is approximately XXXX million $FXS.
🔸Distribution:
More than XX% of the $FXS supply is distributed over several years to liquidity providers and yield farmers.
#DeFiBoom
📜 History and Development:
🔸 Foundation:
Frax Finance was conceived in 2019 and launched in 2020. Since then, the protocol has positioned itself as a pioneer in the DeFi space with its innovative stablecoin model.
🔸 Recent Developments:
Frax Finance has further expanded its ecosystem, for example with the launch of Fraxtal, a Layer X solution, and frxETH, a liquid staking derivative for Ethereum.
#CryptoHistory
💸 Tokenomics
🔸 Total Supply:
The maximum supply of $FXS is XXX million tokens, with no inflation schedule.
🔸 Market Capitalization:
The market capitalization is around $XXX million USD, with a fully diluted valuation (FDV) of approximately $XXX million USD.
🔸 Trading Volume:
The 24-hour trading volume varies between $10-15 million USD.
#Scalability
✅ Advantages of FraxShare ($FXS):
🔸 Innovation:
The fractional-algorithmic model offers a fresh perspective on stablecoins, combining stability with efficiency and decentralization.
🔸 Growth Potential:
As Frax Finance grows, the demand for $FXS could increase, potentially boosting its value.
🔸 Revenue Streams:
$FXS holders directly benefit from protocol income, such as fees from FraxLend and AMOs.
#DeFiApplications
⚠️ Disadvantages and Challenges:
🔸 Market Volatility:
$FXS is subject to price fluctuations, as seen in the decline after the Terra/LUNA crisis in 2022.
🔸 Dependence on FRAX:
The value of $FXS is closely tied to the success and stability of FRAX.
#CryptoChallenges
🛠️ Applications and Adoption:
Frax Finance has collaborations with strategic partners such as BlackRock, WisdomTree, and Securitize, which could accelerate the adoption of FRAX and $FXS in both DeFi and traditional finance.
#DeFiAdoption
📊 Price and Market Performance:
The price of $FXS fluctuates around $2-$3 USD, with a market capitalization of approximately $XXX million USD. It is currently a promising altcoin within the DeFi ecosystem.
#MarketVolatility
🔮 Future Outlook:
The future of $FXS looks promising, with the launch of new products like Fraxtal and frxETH, which could drive demand for $FXS.
#DeFiFuture
🎯 Conclusion:
FraxShare ( $FXS ) is a versatile altcoin that offers both governance and investment opportunities within the innovative Frax Finance ecosystem.
The fractional-algorithmic model, combined with a growing infrastructure, makes it a unique project in DeFi.
For investors who believe in the future of decentralized stablecoins and DeFi adoption, $FXS may be an interesting option, provided they accept the volatility and risks inherent in altcoins.
#CryptoConclusion
🤝 New Partnership: WEEX Exchange x @CryptoJournaal
We’re excited to announce our official partnership with WEEX — and that means massive rewards for YOU! 💥
💰 New users can claim up to $XXXXXX USDT in total bonuses:
🔐 XX USDT → secure your account
📥 Up to XXXXX USDT → deposit to futures wallet + start trading
📊 Up to XXXXXX USDT → futures trading volume rewards
🎯 All rewards stack – up to $30K total!
🟡 Use invite code bwbg to activate your bonus
👉
#Exchange #Rewards #Trading #Futures #Leverage
📚 Useful Resources and Additional Information:
Want to dive deeper into the world of #FraxShare or looking for the latest updates and developments?
These links will help you stay up-to-date:
🔹GitHub:
🔹Official Website:
🔹X (Twitter): @fraxfinance
#CryptoResources #StayInformed
⚠️ Important Notice:
🔹 This post is purely for educational purposes and not financial advice!
🔹 Only invest what you are willing to lose:
#Crypto-investments can be volatile, and you may lose part or all of your investment.
🔹 Always do your own research (#DYOR):
Thoroughly research #crypto-assets, platforms, and wallets before investing.
🔹 Understand the risks of volatility:
The value of #cryptocurrencies can change rapidly, so be prepared for price fluctuations.
🔹 Keep your private keys safe:
Losing your private keys can result in losing access to your crypto-assets.
🔹 Use trusted platforms:
Make sure you trade crypto via trusted and regulated exchanges or wallets that meet necessary security standards.
#CryptoRules #CryptoSafety #CryptoRisks #Dyor
XXX engagements
Related Topics fxs stablecoins protocol finance token governance ticker fraxshare