What We Did
Events / Media
[Curve Finance] A new LlamaLend explainer demonstrated how leverage affects the yield earned on an underlying asset, using frxUSD as its example. Explore LlamaLend markets.
[Ember Protocol] Joe from Ember Protocol explained how sfrxUSD can be combined with Curve Finance’s LlamaLend and Resupply to generate double-digit APYs, with Royco tranching positioned as a potential additional layer.
[The Rollup] Sam Kazemian and Navin joined The Rollup’s livestream to discuss how stablecoins can perform all three functions of money and what may drive the market’s next major stablecoin shift.
[The Rollup / Dragonfly] Haseeb Qureshi of Dragonfly discussed stablecoin spending during an episode of Stabled Up, powered by Frax.
Governance
Note: This section excludes votes that did not reach quorum and includes only ongoing or completed votes.
[FIP-450] Add Gearbox Institutional RWA Market to sfrxUSD Strategies. Link
This proposal adds the Gearbox Institutional RWA lending market to the sfrxUSD strategy whitelist, subject to an allocation cap of 5 million frxUSD. The frxUSD-denominated market accepts regulated tokenized assets from BNY, VanEck through Securitize, and Fasanara through Midas as collateral. Lending is permissionless, while borrowing is restricted to fully KYC-verified participants. Idle liquidity earns T-bill yield in frxUSD.
The proposal positions frxUSD within the expanding tokenized real-world asset sector as issuers such as Midas and WisdomTree increasingly enable frxUSD for subscriptions and liquidity. It passed with 36,618,076 votes in favor and none against, exceeding the quorum requirement of 8,252,476 votes.
[FIP-451] Add Royco SLP to sfrxUSD Strategies. Link
This proposal authorizes the sfrxUSD strategy framework to allocate up to 1 million frxUSD to the Royco SLP, which provides the primary onchain redemption liquidity for srRoyUSDC. The allocation enables frxUSD to earn yield from the underlying srRoyUSDC strategy while establishing it as a core productive liquidity asset within the Royco ecosystem.
The Frax Core Team may deploy capital according to prevailing market conditions and its ongoing risk assessments. The proposal passed with 36,619,554 votes in favor and none against, exceeding the quorum requirement of 8,252,476 votes.
Partnerships / External Integrations
[Resupply] sfrxUSD reached $35 million in TVL, representing 15% monthly growth while offering a 4.1% APY. Resupply Summer continued to support growth in Curve Finance’s LlamaLend sfrxUSD market. Explore Frax Earn.
[Tangent] The USG/frxUSD Curve pool reached 29.8% APR on StakeDAO, ranking first by yield among stablecoin pools with more than $1.5 million in TVL. The pool also offered competitive incentives through Convex Finance. Separately, borrow caps were raised on Tangent’s frxUSD/sUSDS market, enabling LPs to access yields of up to 16% APY.
Tech
FraxNet
Advanced the FraxNet website redesign through design and implementation work.
Updated FraxNet’s KYC/KYB flow.
Completed a FraxNet security review
Implemented contract changes supporting a fee-free custodian whitelist.
Completed WTGXX rebalancing and additional KYC/KYB reviews.
Updated the API architecture to consolidate all FraxNet operations
Nearly completed code changes adding Bitcoin wallet support
Multichain / LayerZero
Developed Multihop Router V2 for Ethereum.
Reviewed LayerZero multisig Safe transactions and built a visualization site displaying live lanes and their latest onchain configurations.
Reset the LayerZero configurations for deprecated deployments on Aptos, Movement, Berachain, Scroll, and Mode; disconnected the Solana–Ethereum route; and paused HopV2 on deprecated chains.
Tested the circuit breaker in staging and resolved the issues identified during testing.
Integrated Solana into the Frax UI swap flow using best-of-aggregator routing logic.
Other
Completed FPI deprecation work.
Completed security reviews covering Term and Sandbox.
Completed a Claude-assisted audit of graph-related engineering work.
Other
[Frax Force — Onchain Cash] DEXs accounted for approximately 24% of spot trading volume in July, the highest share shown in the referenced data. Frax Force also compared this migration toward onchain markets with Bitcoin’s valuation relative to the global money supply.
[Frax Force — Onchain Cash] Wall Street has directed approximately $7 billion into tokenized funds, yet less than 1% of those assets are actively deployed in DeFi, highlighting the remaining opportunity for meaningful onchain integration.
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.