Aave v3 FRAX

AFRAX Price

About Aave v3 FRAX (afrax)

Aave v3 FRAX (afrax) is an interest-bearing token that represents a user's supply of FRAX stablecoins within the Aave v3 liquidity protocol.

• Users receive afrax tokens in a 1:1 ratio when they supply FRAX to the Aave v3 market.
• The token balance increases in real-time as interest is accrued from borrowers and other protocol revenue sources.
• afrax can be redeemed at any time for the underlying FRAX plus the accumulated interest, provided there is sufficient liquidity in the protocol.

What Is Aave v3 FRAX

afrax is a yield-generating derivative of the FRAX stablecoin, specifically designed for use within the Aave v3 ecosystem. When a user deposits FRAX into Aave v3, the protocol mints an equivalent amount of afrax and transfers it to the user's wallet.

The primary value proposition is the automated accrual of yield; rather than requiring manual claiming, the balance of afrax in the user's wallet grows continuously to reflect the earned interest. This mechanism allows FRAX holders to put their assets to work by providing liquidity to decentralized lending markets while maintaining the flexibility to exit their positions. As the Aave ecosystem expands across multiple networks, afrax facilitates capital efficiency by allowing the underlying FRAX to be utilized for overcollateralized loans.

What Makes Aave v3 FRAX Unique

• Real-time Balance Updates: Unlike many yield-bearing tokens that use a share price model, afrax uses a rebasing mechanism where the token balance itself increases to represent accrued interest.
• Multi-chain Availability: afrax is deployed across several major networks, including Ethereum, Arbitrum, and Avalanche, enabling users to access Aave's lending markets on their preferred blockchain.
• Capital Efficiency: Through Aave v3's High Efficiency Mode (E-Mode), afrax can potentially be used with higher loan-to-value ratios when paired with other correlated stablecoins.
• Direct Protocol Integration: As a native aToken of the Aave protocol, afrax is deeply integrated into Aave's risk management and governance frameworks.

What Can You Use Aave v3 FRAX for?

afrax is a digital representation of the US Dollar-pegged FRAX stablecoin, providing users with exposure to the dollar's value within the Aave protocol.

1. Value retention: afrax allows users to hold a digital, on-chain representation of the US Dollar, which may reduce exposure to the volatility inherent in broader cryptocurrency markets.
2. Yield generation: Holders earn native yield derived from borrowers paying interest on the Aave platform; the source does not specify yield from sovereign debt or native yield options beyond decentralized lending.
3. Cross-border settlement / value transfer: The token enables the frictionless transfer of US Dollar-pegged value across supported blockchain networks, facilitating global trade and remittances through decentralized infrastructure.
4. Collateralization: afrax can be used as backing for borrowing other assets within the Aave protocol, allowing users to unlock liquidity without selling their underlying stablecoin holdings.

How Does Aave v3 FRAX Work?

Aave v3 FRAX operates through a system of smart contracts that manage the supply and borrowing of assets. When FRAX is supplied, the protocol's Lending Pool contract mints afrax tokens to the supplier. These tokens represent a claim on the underlying liquidity and accrue interest based on the utilization rate of FRAX in the market.

Transaction costs on the network are paid in the native currency of the underlying blockchain, such as ETH on Ethereum, which functions as the network's gas; afrax itself is an application utility token and does not serve as network gas. The protocol maintains solvency through overcollateralization, ensuring that all loans are backed by assets of greater value than the borrowed amount.

Team Info and Investors

Aave v3 FRAX is a product of the Aave protocol, which was originally founded as ETHLend in 2017 by Stani Kulechov. The protocol is governed by the Aave DAO, a decentralized autonomous organization where AAVE token holders vote on risk parameters, asset listings, and protocol upgrades. While the specific afrax token is a technical implementation of FRAX within Aave, the broader Aave project has received backing from prominent venture capital firms including ParaFi Capital, Framework Ventures, and Three Arrows Capital during its early development. FRAX itself is developed by Frax Finance, a DeFi protocol led by Sam Kazemian.

Where can you buy Aave v3 FRAX?

AFRAX tokens have stopped trading - ago on all exchanges listed on CoinGecko. Information will be updated if market activity resumes.

What is the daily trading volume of Aave v3 FRAX (AFRAX)?

The 24 hour trading volume of Aave v3 FRAX (AFRAX) is $0 which signals a drop in market activity. If you own AFRAX tokens, liquidity of the token is likely to be low. Proceed with caution. You may explore CoinGecko’s list of most traded cryptos for coins with higher liquidity.

What is the highest and lowest price for Aave v3 FRAX (AFRAX)?

Aave v3 FRAX (AFRAX) reached an all-time high of $1.00 and an all-time low of $0.9881. It’s now trading -1.00% below that peak and 0.40% above its lowest price.

What is the market cap of Aave v3 FRAX (AFRAX)?

Market capitalization of Aave v3 FRAX (AFRAX) is $205,895 and is ranked #- on CoinGecko today. Market cap is measured by multiplying token price with the circulating supply of AFRAX tokens (210 Thousand tokens are tradable on the market today).

What is the fully diluted valuation of Aave v3 FRAX (AFRAX)?

The fully diluted valuation (FDV) of Aave v3 FRAX (AFRAX) is $205,897. This is a statistical representation of the maximum market cap, assuming total number of 210 Thousand ETH tokens are in circulation today.

How does the price performance of Aave v3 FRAX compare against its peers?

With a price increase of 0.00% in the last 7 days, Aave v3 FRAX (AFRAX) is underperforming the global cryptocurrency market which is up 0.70%, while outperforming when compared to similar Crypto-Backed Tokens cryptocurrencies which are down -14.50%.

How to add Aave v3 FRAX (AFRAX) to MetaMask?

Adding Aave v3 FRAX (AFRAX) to MetaMask allows you to view your token holdings, trade on decentralized exchanges, and more. To add them, you’ll need to import AFRAX as a token. You can copy AFRAX’s contract address (0xd4e245848d6e1220dbe62e155d89fa327e43cb06) and import it manually, or if you've installed MetaMask's chrome extension, add AFRAX to MetaMask with one click on CoinGecko.

Add AFRAX to MetaMask.