"Same Same But Different -- Again" - FraxCheck #33

This week... I call this week the "Same Same But Different -- Again" week. As the name suggests, this week we're lingering here.

Apr 4, 2023


  1. FraxBP at $492M TVL and 113% Of 3Pool — holding above 4 weeks
  2. frxETH at 128,274 ETH at 2% WoW Growth — slowest growth so far
  3. Profitability for April is $530k — aggregated revenue across AMO

Frax Supply & Peg

As always, we have our flagship stablecoin: $FRAX.  Though there aren’t much news on this front.  The supply has remained flat at $1.045B and the peg ranged from $0.991 to $1.001.  The lower end of the range is concerning but we believe we’re still recovering from the USDC fiasco.  In the markets, we swapped 100M FRAX for USDC and received an exchange rate of 0.9988 — pretty much unchanged from last week’s.

Collateralization & Decentralization Ratios

There were slight movements on the Collateralization % and Decentralization %.  A minor 50 bps increase in the Collat % and a 3.5% drop in the Decent %.   We’re hoping for the collateralization % to rise to 100% and for the decentralization to increase as well.


The FraxBP has a TVL of $491M — the ratio is reverting back to 60/40.  This also means that the exchange rate isn’t the best like it was a few weeks ago.  We have a 221M monthly volume which is a 43% utilization rate.

% of 3 pool

Fortunately, we are maintaining our stronghold above the 3pool.  We’re currently 113% of the 3Pool.  We were able to hold onto our grounds for the past four weeks.  Additionally, we have the breakdown of each of the pools here.  The TVLs are $493M for FraxBP, $436M for 3Pool, and $384M for Frax3CRV.

FrxETH supply and distribution

frxETH experienced the slowest week-over-week growth at 2% this week.  It currently has 128k ETH and Shanghai is right around the corner.  We’re seeing the split between the sfrxETH and the Curve LP hovering around 2/3 and 1/3, respectively.

FrxETH peg

frxETH is still a stablecoin so we must check the peg.  On the dashboard, it shows 0.9993 but we mustn’t trust a dashboard so we’ll go to the markets.  We conducted a 3.5k frxETH swap for ETH and received an exchange rate of 0.9977.  We want to see the numbers ending in 85 and above.

Competitive landscape

When looking at the competitive landscape, there’s Lido at the front of the pack with nearly 75% of the market.  Frax is currently fourth on the list with a market share of 1.62% but it has the highest 30-day change of 17.7%.  Though in the yield department, frxETH is at the top of the list with 5.64% versus the closest competitor Stakewise at 4.54%.


Not much changed on the FPI front.  The supply, cap, and treasury TVL all stayed pretty much the same.   But the equity value increased by $200k so the veFPIS holders are happy.


The Fraxlend product has been slowly recovering since the USDC depeg but things are nowhere near the level it was.  The collateral value and the supply value is still grinding to get to where it once was.  The utilization rate is also down to 64%.  We want to see this in the high 70s or low 80s.


There’s $70M in TVL for Fraxswap but the impressive part is the volume that it facilitates.  There were $168M volume in March and the top volume pool the past 7 days is the FXS/FRAX pool with nearly $20M.


There was also a quiet week on the AMO front.  We saw an increase of 70 bps.  The Curve AMO increased by $2M, Liquidity increased by nearly $7M (the largest bump), and the Investor AMO increased by $2M as well.

Revenue, Expenses, Profit

Here we aggregated all the revenue across the AMOs and FPI.  We have $530k in losses from Convex — granted we just paid the bribes and yet to reap the rewards.  We received $14k from the FraxLend AMO from supplying FRAX and we did not receive any fees from liquidation in April so far.  On the FPI front, there’s currently a “loss” of $13.9k but there are over $50k of unclaimed rewards so once those rewards are claimed we can update the figures here.

That’s it for this week of Frax Check!  Thanks for reading and see you guys next week.


Not financial or tax advice. This article is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This post is not tax advice. Talk to your accountant. Do your own research.

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