Summary
TLDR: Noble partners with Frax Finance to bring stablecoins FRAX and sFRAX to Cosmos and IBC ecosystems. FRAX is a USD pegged stablecoin with 100% collateralization ratio. sFRAX is a staked version of FRAX. FRAX is the eighth largest stablecoin by market cap. Noble enables access to FRAX and sFRAX on major Cosmos chains. Partnership aims to provide liquidity, interoperability, and seamless user experience in the ecosystem.
Key Points
1. Native on-chain asset issuance blockchain, Noble, has partnered with Frax Finance to bring decentralized stablecoins FRAX and sFRAX into the Cosmos and IBC ecosystems.
2. FRAX itself is a USD pegged stablecoin, meaning that it is worth 1:1 to the US dollar. Each stablecoin has an 100% collateralization ratio and uses Algorithmic Market Operations (AMO) contracts and non-custodial subprotocols to maintain the peg to the dollar.
3. sFRAX is a staked version of the FRAX token, requiring users to lock their FRAX with a staking provider to earn yield exposure on their stablecoins.