DEFI

Another Stablecoin Project! Reflexer Announces Completion of Airdrop Snapshot, Expected to Launch FLX Token Distribution Tomorrow

share
Another Stablecoin Project! Reflexer Announces Completion of Airdrop Snapshot, Expected to Launch FLX Token Distribution Tomorrow

Table of Contents

Reflexer Finance to Distribute Governance Token Tomorrow

The development team of decentralized stablecoin RAI, Reflexer Labs, announced today that the snapshot for the first governance token, FLX, has been completed. The first distribution of FLX tokens is scheduled for April 15th, with subsequent FLX token distributions set to occur regularly on the 15th of each month.

In addition to the originally announced eligibility for governance token distribution - "Stake ETH to mint RAI and provide liquidity to the RAI/WETH pool on Uniswap," the team will also airdrop 1 FLX to addresses that have held debt continuously for at least 7 days since February 17th.

Users eligible for the airdrop can test the airdrop functionality by clicking on the FLX icon in the top right corner on the Reflexer platform on the Kovan testnet.

Algorithmic Stablecoin Landscape

Reflexer Finance, along with Float Protocol and Fei Protocol, are new algorithmic stablecoin projects that have garnered support from prominent investment firms such as Pantera Capital, Paradigm, and The LAO. Additionally, teams from Compound, a16z, Synthetix, and Aave have invested in Reflexer as well.

Reflexer Finance operates similarly to MakerDAO, but its stablecoin RAI is anchored not to the US dollar but to the community-voted value of 3.14 (pi), making 1 RAI equal to 3.14 USD. The price of RAI has been gradually stabilizing since its inception.

Source: CoinMarketCap

However, unlike Reflexer Finance, the governance tokens of the other two new algorithmic stablecoin projects have already been circulating but have shown less than ideal performance recently. Particularly, Fei Protocol issued an excessive amount of stablecoin FEI during its launch, and the governance tokens TRIBE and FEI were dumped by speculators, making it challenging for the project to recover. The proposed FEI redemption plan by the founders of Fei Protocol was also rejected by TRIBE holders, and the community is actively discussing potential solutions.

Given the less than ideal performance of the previous two projects, can the FLX token distribution by Reflexer Finance make a mark for the concept of new algorithmic stablecoins?