Frax Finance Targets $100 Billion TVL in New Roadmap

DeFi protocol Frax Finance has unveiled the first segment of its roadmap, dubbed Singularity. The plan aims to achieve a total value locked (TVL) of $100 billion in the Fraxtal L2 network by 2026.

Frax Singularity Roadmap ?

The first part of the long-awaited Frax Singularity Roadmap has just been published. The roadmap aims to unify all aspects of Frax into a all-encompassing vision ?

Let’s Dive in ? pic.twitter.com/yByUZXXpl6

— FlywheelDeFi.eth (@FlywheelDeFi) March 21, 2024

The project’s scaling plans include the creation of 23 L3 levels (referred to as fractals) within 365 days.

In addition to the four tokens in the ecosystem — FXS, FRAX, sFRAX, and frxETH — new assets such as frxNEAR, frxTIA, and frxMETIS will be introduced. All coins will operate on Fraxtal.

The project will also revisit its fee-splitting mechanism, with half of the volume directed towards maintaining liquidity in FXS.

The anticipated changes in tokenomics are expected to provide 100% backing for the FRAX stablecoin, along with “the most competitive staking yield conditions” in the industry.

Ultimately, the primary beneficiaries in the system are expected to be the holders of the governance and utility token FXS.

At the time of writing, the asset is trading at around $7.4, with a market capitalization of approximately $589 million. Over the past 30 days, the price has fallen by 14.6%, and nearly 12% over the year (CoinGecko).

FRAX ranks eighth in the stablecoin rankings with a market supply of approximately $643 million. The leading USDT stands at $103.5 billion.

According to DeFi Llama, the total value locked in Frax Finance assets slightly exceeds $1.33 billion.

In February, the price of FXS surged amid the project’s interest in the Uniswap Foundation’s initiative regarding staker rewards.