FRAX FINANCE BIWEEKLY PROJECT UPDATE - #39
Week ending 06/19/2026
What We Did
Events / Media
[Fortune Magazine] Frax was recognized in the Fortune Crypto 100 as the #5 stablecoin issuer, with data analysis from Inca Digital. Link
[Podcast] Sam Kazemian, co-founder of Frax.com, was hosted by The Rollup on their podcast, where he shared his thesis on stablecoin supply and why he thinks it is about to go vertical. Link
[Podcast] Sam joined Nick van Eck of Agora, Benjamin Sarquis Peillard of Cap, Cyrille Briere, and Petr Hluze during Stable Summit.
Governance
Note: Does not include votes that did not meet quorum. Also, only ongoing and completed votes.
[FIP-447] Increase Aave v4 Allocation Cap for sfrxUSD Strategy from $20M to $50M. Link: This proposal seeks to increase the maximum allocation of frxUSD from the sfrxUSD strategy framework into Aave v4 from $20M to $50M. The goal is to support long-term growth of frxUSD and sfrxUSD by expanding capacity in one of DeFi’s most important lending and borrowing venues, while keeping deployment subject to market conditions, utilization, and risk assessments. The proposal was posted on June 7 and marked as up for voting on June 15.
Partnerships / External Integrations
[3Jane] 3Jane’s credit-based money market launched publicly with a USD3/frxUSD PegKeeper pool on Curve Finance for liquidity mining. Link
[Aave] frxUSD deposit caps on Aave V4 were raised to $30M, with borrow rates dropping to 0.6% APY and frxUSD becoming the largest stablecoin asset on Aave V4. frxUSD later became the top deposited asset and top borrowed stablecoin on Aave V4, with deposits surpassing $150M and frxUSD accounting for roughly 22% of total active borrows. Link
[AlphaPing / Morpho] The AlphaPing Enhanced frxUSD Vault on Morpho is offering over 17% APY on frxUSD deposits. Link
[Boardwalk] Boardwalk launched its beta on Fraxtal, with frxUSD supporting token economy launches by routing yield value back to projects as they grow.
[Canton Network / Send] Send launched the first frxUSD.b pool on Canton Network, paired with $CC, bringing frxUSD to institutional participants on Canton.
[Curve Finance / Metronome] frxUSD PegKeeper pools on Curve Finance with crvUSD and Metronome with msUSD led record-breaking volume for frxUSD in June.
[dTRINITY] dTRINITY, a Fraxtal-native project, officially reopened on Ethereum after fully covering bad debt from a March incident, with its chain-isolated architecture having protected over 95% of protocol TVL.
[Frax OFT / Chain Deprecations] Following the passing of FIP-445, Frax OFT bridge support for Aptos, Berachain, Mode, Movement, and Scroll will be deprecated on July 30, 2026. Link
[Morpho / Tangent] A new frxUSD market went live on Morpho, allowing users to use sUSG as collateral to borrow frxUSD, curated by AlphaPing with Tangent. Link
[Parallel / HyperEVM] The frxUSD/USDp pool on Curve Finance on HyperEVM hit $1M in TVL, becoming the top Curve pool on HyperLiquid HyperEVM, with USDp choosing frxUSD as its default stablecoin liquidity.
[Tangent] Borrow caps were raised by 50% on frxUSD/sUSDS and frxUSD/sDOLA markets, built on top of frxUSD liquidity, with $250k USG available to borrow. Link The frxUSD/scrvUSD market on Tangent also had its borrow caps raised, with frxUSD markets being the first to fill across Tangent’s 12 markets. Link
Tech
[FraxNet]
Updated FraxNet app APIs, including in-flight status support for Somnia.
Reviewed KYC flow expansion for non-U.S. individuals.
Continued proof and orchestration key-migration cleanup.
[Multichain / LayerZero]
Added HopV2 support on FUI.
Continued LI.FI integration work.
Cleaned up HopV2 architecture permissions by revoking an old pauser role from RemoteAdmin.
Refactored the frax-lz-route-api to use caching without a cron job, reducing Cloudflare KV reads and writes.
Pinned optional DVN counts for the Frax LZ mesh.
[Other]
Continued Fraxlend development discussions and feature work.
Continued KRWQ dual-oracle edits and pre-deployment fork testing.
Continued UniswapX integration work.
Continued custodian aggregator-listing work.
Other
About Frax
At Frax, we’re building the world’s most scalable stablecoin infrastructure for the next generation of finance.
You can see a more detailed overview here.
Legal Disclaimers
This announcement is not intended to provide financial, legal, or investment or other advice and we recommend that you do not rely on, and do not make any financial or other decision based on this announcement. It has been written and published by members of the Frax team and provides no guarantee, commitment, or undertaking to utilize any Frax-related funds, assets, properties, or personnel. Frax does not owe, and does not intend to assume, any duties or obligations to Frax users or participants. The Frax community (namely veFXS holders) may decide, through voting mechanisms, to direct the protocol in an entirely different direction than that of the team, and the latter would be obligated to follow said vote(s).
To the maximum extent permitted by applicable law, all software relating to Frax is being provided on an as-is, where-is basis, with no representations or warranties being made to Frax participants and with no liability to the Frax protocol or any other person involved in the development of Frax. The statements set forth in this announcement also are not intended to be warranties, representations, guarantees, or assumptions of duty or liability of any kind. The protocol will not be liable for any damages arising from its use or misuse.
The forward-looking statements in this announcement are subject to numerous assumptions, uncertainties, and risks which are subject to change over time. Such assumptions, risks and uncertainties could cause actual results or developments to differ materially from the results and developments anticipated by us. Even if anticipated results and developments are realized, such results and developments may nevertheless fail to achieve any or all of the expected benefits anticipated by this announcement.