Frax tokens to be natively issued on Noble, expanding into Cosmos ecosystem

Frax Finance is collaborating with Noble to expand Frax’s products into the Cosmos ecosystem, providing a relatively decentralized alternative to USDC.

The collaboration allows Frax and sFrax tokens to be integrated natively across the Cosmos ecosystem — made up of over 80 interconnected blockchains — for various applications, including decentralized finance and payments. This is in addition to its current issuance on Ethereum, where it has a total value locked of over $1.1 billion.

Frax’s initial offerings on Noble will include the Frax token, a decentralized stablecoin that combines collateralized and algorithmic mechanisms for peg stability, and sFrax, a staked version of Frax that aims to provide a yield.

Within the Cosmos ecosystem, Noble is known for being the native asset issuance network for Circle’s USDC stablecoin, from which it can move to other Cosmos chains like Osmosis, Celestia, Sei, Injective, and Neutron. There is over $200 million of native USDC currently outstanding following its launch in September 2023.

This is not the first instance of an Ethereum-based project extending its reach into the Cosmos ecosystem. Previous integrations include Lido’s staked ether (stETH) tokens and the Dai stablecoin. However, these were introduced to Cosmos as bridged versions, rather than native ones.