Magpie

Magpie now offers an opportunity for frxETH &amp; ETH liquidity providers to optimize their earnings.What is frxETH?Introducing Frax Ether, a liquid ETH staking derivative that harnesses the power of the <a href="https://app.frax.finance/" rel="noopener noreferrer nofollow">Frax Finance</a> ecosystem to achieve higher staking yield and streamline the Ethereum staking process. It provides a simplified, secure, and DeFi-native approach to earning interest on ETH.The three main components of the Frax Ether system are the Frax ETH Minter, the Frax Ether (frxETH) and Staked Frax Ether (sfrxETH).<ul><li>The Frax ETH Minter (frxETHMinter) — Enables the conversion of ETH to frxETH, thus integrating ETH into the Frax ecosystem. It also creates new validator nodes when feasible and generates new frxETH tokens equivalent to the amount of ETH deposited.</li><li>frxETH — By using Frax’s successful playbook on stablecoins and integrating ETH into the Frax ecosystem, frxETH functions as a stablecoin with a loose peg to ETH.</li><li>sfrxETH — The staking-enabled version of frxETH that earns staking yield. The revenue generated from Frax Ether validators is distributed exclusively to sfrxETH holders. To start earning staking yield, one can exchange frxETH for sfrxETH, which can later be converted back to frxETH to redeem the staking yield.</li></ul>What benefits does frxETH offer?In traditional staking, the $ETH staked by the validator will be locked in a smart contract and cannot be used for other purposes. Frax offers users the chance to earn staking rewards with their ETH tokens without the need to stake 32 ETH and become a validator. ETH holders can use the FRAX ETH Minter to convert their ETH tokens into frxETH at 1:1 ratio. Holding frxETH on its own is not eligible for staking yield and should be thought of as analogous as holding ETH.At any time, frxETH can be exchanged for sfrxETH by depositing it into the sfrxETH vault, which allows users to earn staking yield on their frxETH. Over time, as validators accrue staking yield, an equivalent amount of frxETH is minted and added to the vault, allowing users to redeem their sfrxETH for a greater amount of frxETH than they deposited.Frax Finance<img src="https://miro.medium.com/v2/resize:fit:1400/0*v-1vXnpaqsagQZB4" />The Frax Protocol generates novel stablecoins through decentralized means and has subsidiary protocols in place to reinforce their stability.<ul><li>The Frax Protocol issues three stablecoins: FRAX, FPI, frxETH</li><li>FRAX is pegged to the USD, while FPI is the first stablecoin with a basket of consumer goods as its unit of account. frxETH is a stablecoin pegged to ETH, designed to replace WETH in smart contracts.</li><li>Fraxswap is the protocol’s native automated market maker, enabling collateral rebalancing and the expansion and contraction of stablecoin supply.</li><li>Fraxlend is the permissionless lending facility for Frax-based stablecoins, facilitating customized non-custodial loans and collateral asset onboarding.</li><li>Fraxferry is the optimistic transfer protocol for natively issued Frax Protocol tokens across multiple blockchains.</li><li>Frax Share (FXS) is the governance token of the Frax ecosystem and accrues fees, revenue, and excess collateral value.</li><li>Lastly, the community can propose new gauge rewards for strategies that integrate Frax-based stablecoins, with FXS emissions distributed to different gauges based on veFXS staker votes.</li></ul>What is veFXS?veFXS is the locked version of the Frax Share token (FXS). Users have the option to lock up their FXS for varying durations, to get veFXS tokens. This locking process is similar to a vesting and yield system based on Curve’s veCRV mechanism. When an FXS holder locks up their tokens for up to 4 years, they will receive veFXS tokens in return. The amount of veFXS generated will be four times the amount of FXS that was staked.Boosted frxETH Liquidity pool on MagpieUsers can earn higher rewards by providing liquidity through the boosted frxETH pool on Magpie. This is possible thanks to the high amount of veWOM accumulated by Magpie on Wombat Exchange, which allows users to maximize their frxETH holdings’ return and benefit from more rewards provided by the protocol. In conclusion, the addition of the boosted frxETH pool on Magpie is highly advantageous for users as it offers them a chance to maximize their rewards and earn even more.About Magpie XYZ: Magpie XYZ is a platform built on BNB Chain to boost yields for liquidity providers and governance token holders of veTokenomics protocols. Essentially the platform incentivizes governance token holders and liquidity providers to pool their assets together so that the platform can acquire governance tokens, convert them into veTokens, boost yield for liquidity providers, and in return share part of the protocol revenues derived from liquidity providers’ boosted profits back to governance token holders.<a href="https://www.magpiexyz.io/" rel="noopener noreferrer nofollow">Website</a> / <a href="https://twitter.com/magpiexyz_io" rel="noopener noreferrer nofollow">Twitter</a> / <a href="https://discord.com/invite/magpiexyz" rel="noopener noreferrer nofollow">Discord</a> / <a href="https://t.me/magpiexyz_io" rel="noopener noreferrer nofollow">Telegram</a> / <a href="https://docs.magpiexyz.io/" rel="noopener noreferrer nofollow">Gitbook</a> / <a href="https://link3.to/magpiexyz" rel="noopener noreferrer nofollow">Link3</a> / <a href="https://github.com/peckshield/publications/blob/master/audit_reports/PeckShield-Audit-Report-Magpie-v1.0.pdf" rel="noopener noreferrer nofollow">Peckshield Audit</a> / <a href="https://github.com/zokyo-security/audit-reports/blob/main/Magpie_Zokyo%20audit%20report.pdf" rel="noopener noreferrer nofollow">Zokyo Audit</a>

Boost Your Rewards with the frxETH Liquidity Pool on Magpie

Magpie XYZ

Další články publikované 17. 3. 2023

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