fx Docs
  • f(x) Protocol Documentation
  • OVERVIEW
    • πŸ“–Abstract
    • ⭐Core Products of f(x) Protocol 2.0
  • f(x) Protocol Mechanisms
    • βš–οΈThe f(x) Invariant
    • βš™οΈKey Functions of f(x) 2.0
    • πŸš€Creating a Leveraged Position (xPOSITION)
    • πŸͺ‚Rebalancing the Position (Liquidation Brake)
      • Understanding the band system
      • Liquidation process
      • Developers
    • πŸ’°Stability Pool
    • πŸ’΅Fees
  • RISK MANAGEMENT
    • πŸ§˜β€β™‚οΈRisk framework
    • βœ…Advanced Peg Protection Mechanisms
      • Understanding the redemption mechanism
    • 🚨Risk parameters
    • 🧭Oracle
      • stETH
      • WBTC
    • πŸ›‘οΈAudit Reports
  • Earn with f(x)
    • πŸ’²USD high & sustainable yield
    • πŸͺ™$FXN Tokenomics
      • veFXN
      • FXN Farming and veFXN Boost
    • πŸ”₯Protocol Revenue & Distribution
  • POWER TO THE PEOPLE
    • 🀝Get involved - Community Booster Program
    • πŸ«‚Referral Program
  • FAQ
    • 🟦Is fxUSD an algorithmic stablecoin?
    • 🟦Where does the yield come from?
    • 🟦How do f(x) Protocol stablecoins maintain stability?
    • 🟦Is there any LUNA-like risk?
    • 🟦How does f(x) Protocol minimize liquidations?
    • 🟦How does f(x) Protocol minimize funding costs?
    • 🟦What could go wrong?
    • 🟦Why are there different stablecoins?
    • 🟦What is the difference between f(x) Protocol V1 and V2?
    • 🟦What price drop would it require for my xPOSITION to be rebalanced/liquidated?
  • GUIDES
    • πŸ“ˆHow to open a leverage position (xPOSITION)
    • πŸ“‰How to close a leverage position (xPOSITION)
    • πŸ“How to adjust your leverage / how to reduce your Liquidation Brake
    • βž•How to add/reduce a leverage position?
    • πŸ’°How to stake into the stability pool?
    • πŸšΆβ€β™‚οΈHow to unstake from the stability pool?
  • MORE
    • πŸ”‘Token Breakdown
    • 1️⃣f(x) Protocol 1.0
      • Leverage
      • Earn
      • Stability Mechanism
      • FX Auto-Compound
      • Oracle
    • πŸ–₯️Resources
      • Contracts
      • Useful links
    • πŸͺ”Aladdin DAO
    • 😎 Brand Assets
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  1. FAQ

Why are there different stablecoins?

When you visit our V1 dApp, you might need more clarity regarding the variety of stablecoins available. Each stablecoin is backed by different types of collateral, each with unique risk profiles. Here's a breakdown of their key differences:

Each of these stablecoins is designed to serve different use cases and risk appetites. For more details, explore our Token Breakdown.

PreviousWhat could go wrong?NextWhat is the difference between f(x) Protocol V1 and V2?

Last updated 5 months ago

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