FrankencoinPrice

(ZCHF)

Frankencoin is a decentralized Web3 project focused on creating a stablecoin called ZCHF, which tracks the value of the Swiss franc. The system operates primarily on the Ethereum blockchain and is accessible across various Layer 2 networks. Unlike many other stablecoin projects that rely on external data feeds known as oracles, Frankencoin is designed to be oracle-free. It uses a series of on-chain smart contracts and economic incentives to maintain its stability and manage risk. The project utilizes a dual-token model. The first token, ZCHF, serves as the stable asset for payments, wealth storage, and borrowing. The second token, Frankencoin Pool Shares or FPS, acts as the governance and equity token of the protocol. Holders of FPS tokens have the authority to participate in decision-making processes, such as approving new types of collateral or adjusting protocol parameters. These holders also act as the final backstop for the system, sharing in the rewards of the protocol while also bearing the risk of potential losses if the system becomes under-collateralized. To create new ZCHF, users must participate in a minting process where they lock up approved crypto assets as collateral. This collateral must exceed the value of the tokens being created to ensure the system remains fully backed. If a position becomes risky, the protocol uses an auction-based liquidation mechanism to protect the system's integrity without needing an external price source. The governance of Frankencoin is decentralized and community-driven. It employs a veto-based system that allows token holders to block risky proposals, ensuring that only widely accepted collateral types and minting methods are integrated. The project was inspired by academic research from the University of Zurich and is supported by the Frankencoin Association, a Swiss-based organization. In summary, Frankencoin aims to democratize the creation of money by allowing individuals to mint their own currency against collateral in a transparent and autonomous environment. It provides a crypto-native alternative to traditional banking by offering a decentralized way to access the stability of the Swiss franc on the blockchain. Learn more

Cryptocurrency prices are subject to high market risk and price volatility. You should invest only in projects and products you are familiar with and understand the associated risks. Carefully consider your investment experience, financial situation, investment objectives, and risk tolerance, and consult an independent financial advisor before making any investment decisions. This material should not be considered financial advice. Past performance is not a reliable indicator of future performance. The value of your investment may go down or up, and you may not recover your invested amount. You are solely responsible for your investment decisions. LBank is not responsible for any losses you may incur. For more information, please refer to our Terms of Use and Risk Warnings. Please also note that the data related to the above-mentioned cryptocurrency (such as its current real-time price) is sourced from third parties and is provided “as is” for informational purposes only, without any representation or warranty. Links to third-party websites are not under LBank’s control, and LBank is not responsible for the reliability or accuracy of such websites or their content.