SFRXUSD Frax Staked frxUSD Rank #636

Frax Staked frxUSD (SFRXUSD) is a yield-bearing stablecoin issued on Ethereum as an ERC-4626 standard token. It is designed to operate alongside frxUSD, the Frax protocol's decentralized stablecoin, and functions as a staking vehicle that accrues value over time. When users stake frxUSD, they receive SFRXUSD in return, which can later be redeemed for the underlying frxUSD at a proportionally higher rate reflecting accumulated yield. Unlike rebasing tokens, SFRXUSD does not adjust its balance; instead, its redemption value against frxUSD increases as yield is generated. The token is fully redeemable at any time with no unstaking fees or price impact. SFRXUSD's yield strategy is governed by the Frax DAO and rotates between three approved approaches: carry-trade strategies, algorithmic market operations (AMOs), and a benchmark rate tied to traditional instruments such as the Interest on Reserve Balances or short-dated U.S. Treasuries. The intent is to maintain a competitive onchain yield relative to prevailing benchmarks. The token is integrated across multiple blockchain ecosystems, including Ethereum, Arbitrum, Fraxtal, Mode, Sonic, Sei, X Layer, and Katana.