is the point of the speculative token? I'm a bit lost on this one. I understand the stable coin, but not the relation to the other token
FXS has an algo relationship with FRAX where if FRAX loses peg above $1 then FXS gets burnt which drives price up due to less circulating supply. and vice versa if FRAX loses peg below $1
With today's run up in price in FXS, is there anything stopping people from cashing in FRAX to collect FXS?
Only when FXS is off peg (or at least within certain bounds) does this mechanism kick in. So if frax stays within this limit there is no arbing possible.
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