Legacy Frax Dollar (FRAX)
CryptoScore Pro global score : 71/100 (computed on 2026-10-28)
The Legacy Frax Dollar (FRAX) is a decentralized, algorithmic stablecoin operating primarily on Ethereum, designed to maintain a 1:1 peg with the US dollar through a hybrid collateralization model combining fiat-backed reserves and overcollateralized cryptocurrency assets. Unlike traditional stablecoins like USDC or DAI, which rely solely on fiat reserves or undercollateralized debt pools, FRAX employs a dynamic system where the proportion of collateral shifts based on market demand, ensuring liquidity and stability without excessive reliance on centralized custodians. Its multi-chain deployment—across Ethereum, Arbitrum, Polygon, Avalanche, and others—positions FRAX as a critical infrastructure asset for DeFi, enabling seamless cross-chain transactions, lending, and yield generation. The protocol’s seigniorage mechanism, which allows for controlled minting and burning of FRAX based on arbitrage incentives, distinguishes it from purely collateralized stablecoins, offering a more adaptive and decentralized alternative for users and developers in the evolving DeFi landscape. FRAX’s technical architecture is built on a two-token system: the Frax Share (FXS), a governance and…
Scores by pillar
| Technology | 68/100 |
|---|---|
| Tokenomics | 80/100 |
| Team | 60/100 |
| Adoption | 78/100 |
| Liquidity | 45/100 |
| Compliance | 64/100 |
Market data
| Price | $0.9923 |
|---|---|
| Market cap | $217.63M |
| 24h volume | $245,791.00 |
| Market cap rank | #206 |
| 24h change | -0.11% |
| 7d change | +0.03% |
| Blockchain | Ethereum |
| Sector | Stablecoin |
Analysis
The Legacy Frax Dollar addresses the need for decentralized stability. This stablecoin uses a hybrid model, combining fiat reserves and cryptographic assets, on the Ethereum chain. Its maturity rests on a seigniorage system.