Also, @samkazemian, is the explanation below I wrote of why

Question

Also, @samkazemian, is the explanation below I wrote of why

frxETH is a superior wrapped ETH than wETH sound?

Projects that want their token(s) to be paired with wETH can just pair their token(s) with the frxETH basepool because frxETH is de facto wETH but by pairing with the frxETH basepool, projects deepen the frxETH basepool liquidity, and any swaps done in their pool generate a fee for the underlying basepool, half of which goes to the protocol, and also by pairing with the frxETH basepool they deepen liquidity for it, giving the AMO liberty to mint more frxETH into the pool without breaking peg but being able to generate more swap fees, emissions from the curve gauge and then sharing the swap fees and emissions that these metapools subsidized (helped create) with them (50% from my understanding).
So, in essence, projects pair their tokens with another wrapped ETH variant, frxETH, but get extra rewards for doing so, with the only downside being a frxETH depeg, which is highly unlikely.

#cryptocurrency #english #frax

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02.12.2023

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imajinl Автор вопроса

Sam Kazemian ¤⛓️¤
That’s correct. The gist is that it’s much more pr...

Yeah, for sure. One question that I do have is what the vlcvx voting power is being used for right now. my understanding is that vefxs is the arbiter of this, but what has been decided for now?

0

11 месяцев назад

droid1

Sam Kazemian ¤⛓️¤
That’s correct. The gist is that it’s much more pr...

please run some marketing clips on twitter pods et al; ppl seem to decentralize their CEX eth stakes; frax should be no1

0

11 месяцев назад

Sam Kazemian ¤⛓️¤ · Accepted Answer

Sam Kazemian ¤⛓️¤

That’s correct. The gist is that it’s much more profitable to pair with frxETH due to the yield and/synergy/incentives than weth. Like you said, there is some depeg risk/smart contract risk, but it’s quite minimal.

0

11 месяцев назад

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Also, @samkazemian, is the explanation below I wrote of why

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