Introducing ZCHF by the Frankencoin Protocol – Swap & Liquidity Pools now available on Stabull DEX
As DeFi evolves and stablecoins for fiat-backed currencies proliferate across blockchains, they are increasingly offering an alternative to traditional forex trading platforms. Despite this growth, non-USD stablecoin swaps still represent less than 1% of the market.
In this article, we explore ZCHF, a Swiss Franc-based stablecoin that is now available on Stabull’s decentralized exchange (DEX).
What is ZCHF (Frankencoin POS)?
ZCHF is a Swiss Franc-based stablecoin developed by the Frankencoin Protocol, a decentralized project originating in Switzerland. It is an oracle-free and collateral-backed stablecoin built on Ethereum & various L2’s, and features on our Polygon DEX.
It is pegged 1:1 to CHF via over-collateralization and internal auction mechanisms, which mean that it doesn’t rely on external price oracles. Users can mint the token by locking collateral (for which they earn interest) for various cryptocurrencies. It is also redeemable 1:1 against other Swiss stablecoins. The project is controlled by a governance system controlled by it’s various Pool Shares owners.
Key Features of ZCHF
- Blockchain Compatibility: is currently available on Ethereum, as well as ETH based Layer 2’s such as Polygon, Arbitrum One, OP Mainnet, Base, Avalanche, Gnosis and Sonic
- Collateral & minting: Various acceptable collateral (determined by the Pool Voting Token Holders) can be used to mint ZCHF for various terms, backed at >100% to 1 Swiss Franc
- Governance: Pool Shares holders manage the project’s reserves to maintain peg stability, with holders of more than 2% of the shares having a veto on governance decisions.
- Transparency: The protocol uses an on-chain system showing reserves of various cryptocurrencies and their over-collateralization rates.
- Regulatory Compliance: ZCHF is classified as a payment token under Swiss regulations, and a crypto-asset under MiCA, however because it does not have a central issuer and is decentralized, it is exempt from regulation and supervision.
- Utility: ZCHF allows for exposure to the Swiss Franc, interaction with various DeFi protocols, and is redeemable 1:1 against other Swiss Franc stablecoins.
ZCHF on Stabull DEX
With ZCHF now available on Stabull, users can access the currency of nearly 9 million Swiss, as well as a leading reserve currency.
The ZCHF pool deployed on Stabull is:
Polygon ZCHF/USDC Pool: 0xd840D0361C36709E62C13Ec42253dc0C3e326C1D
Benefits of the Integration
- Seamless Swapping Stabull DEX provides efficient, low-cost swapping between ZCHF and USDC, along with all the other supported Stablecoins and RWA’s on the Polygon version of our DEX.
- Low Fees and Fast Execution Stabull’s advanced AMM design uses an off-chain CHF/USD oracle to dynamically re-center liquidity, minimizing slippage during swaps. Combined with a low 0.15% swap fee per pool, Stabull offers cost-effective, fast, and trustless transactions.
- Liquidity Pools and Earning Opportunities ZCHF holders can join liquidity pools on the Polygon network by becoming Liquidity Providers (LPs). By providing liquidity, LPs earn 70% of trading fees from ZCHF swaps and can participate in Stabull’s Liquidity Mining Program which provide additional yield in the $STABUL token, making it an attractive opportunity to maximize returns.
Conclusion
The addition of ZCHF (Frankencoin POS) to Stabull reinforces its mission to offer the widest range of stablecoins in DeFi and enable a 24/7/365 forex market. With ZCHF, users can now seamlessly access the Swiss Franc on-chain, opening new possibilities for remittances, trading, and financial inclusion.
