The founder of Frax Finance has released a proposal to make FinresPBC the off-chain RWA partner for FRAX v3
ChainCatcher news, the founder of the mixed algorithm stablecoin protocol Frax Finance, Sam Kazemian, recently released a proposal in the community to "partner with FinresPBC as the off-chain RWA partner for FRAX v3." The proposal aims to provide a method for the Frax protocol to hold cash deposits and other low-risk cash equivalents to execute its FRAX v3 RWA asset strategy.It is reported that FinresPBC is a public benefit corporation registered in Delaware that will be responsible for this task. Its public mission is to bring traditional financial assets to the public and provide the Frax protocol with safe cash equivalents and yields close to the Federal Reserve rate, without seeking to profit from this relationship.In addition, FinresPBC has established partnerships with compliant and crypto-friendly financial partners such as Lead Bank. The proposal also outlines the services that FinresPBC will provide to the Frax protocol, including holding USD deposits, issuing and redeeming Paxos USDP and Circle USDC stablecoins, as well as holding, purchasing, and selling U.S. Treasury bonds. Each month, FinresPBC will publicly release a complete asset breakdown and report of all reserves held for the Frax protocol.In response to community questions, Sam Kazemian stated that the reason they did not adopt USDT is that it is difficult to obtain permission to mint/redeem USDT. Due to Tether's secrecy, they do not know of an entity that can mint/redeem USDT. He emphasized that he is not trying to imply that Tether's reserves have issues or make FUD statements, and added that if the aforementioned issues could be resolved, they might consider adding USDT in the future.
