Inflation benchmark Frax Price Index to launch on Partisia blockchain
By using crowdsourced price oracles, the developers behind Frax and Partisia hope to accomplish a more complete picture of the current inflation environment. On Thursday, Frax Finance, a developer of algorithmic stablecoins, announced it would launch the Frax Price Index, or FPI, on the Partisia blockchain. The benchmark would have its stablecoin pegged to it and serve as a competitor to the standard Consumer Price Index, or CPI. Although the latter is a near-universally adopted inflation gauge, skeptics have claimed that its methodology does not account for items such as housing prices,....
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Part-collateralized, part-algorithmically stabilized stablecoin, FRAX is the world’s first fractional-algorithmic stablecoin. The Frax protocol is ideologically pure, extremely stable, and highly scalable on-chain money that consists of a two-token system. The stablecoin Frax (FRAX), and the governance token Frax Shares (FXS). As Cryptocurrencies Rise so Too Stablecoins Amongst economical uncertainty and global financial instability, cryptocurrencies have been evolving rapidly. Cast aside as ‘fake’ online money by the masses for years, the canyon between fiat and crypto....
The concept of an inflation-linked “stablecoin” has been trialed before, but time is yet to prove whether it is working as intended. Blockchain tech firm Laguna Labs has launched a testnet for its in-development “flatcoin” — a spin-off of stablecoin tokens — pegged to the cost of living rather than a fiat currency or a commodity. In an Oct. 24 announcement, Laguna Labs said that the Nuon flatcoin is unlike tokens tied to fiat currencies, such as the United States dollar, as it is pegged to the cost of living via “daily unbiased, authentic, and on-chain inflation data.”The firm said the....
U.S. inflation continues to roar higher as this week’s data from the consumer price index (CPI) jumped 6.2% from a year ago. Americans are concerned as the Federal Reserve has expanded the monetary supply like at no other time in history, suppressed the benchmark interest rate, and U.S. politicians are creating multi-trillion-dollar packages with money the government doesn’t have. The news of hotter than usual inflation caused stock markets to fall on Wednesday, and U.S. president Joe Biden said the White House is prioritizing “getting prices down.” Inflation:....
But concerns remain that the cryptocurrency could fall harder than its traditional rivals in 2022 on the U.S. Federal Reserve’s increasingly hawkish tones. Bitcoin (BTC) may be down over 30% from its record high of $69,000, but it has emerged as one of the best-performing financial assets in 2021. BTC has bested the United States benchmark index the S&P 500 and gold.Arcane Research noted in its new report that Bitcoin’s year-to-date performance came out to be nearly 73%. In comparison, the S&P 500 index surged 28%, and gold dropped by 7% in the same period, which marks the third....
The Angolan central bank’s monetary policy committee (MPC) recently hiked the country’s benchmark interest rate from 15.5% to a record of 20%. The largely unexpected hike, which is one of the National Bank of Angola (NBA)’s attempts to curb inflation, marks the first time the benchmark rate has been increased since November 2017. Rising Inflation a Threat to Angola’s Growth According to a Bloomberg report, the MPC was compelled to bring forward the meeting that ultimately sanctioned the rate hike due to an “evolution of the main indicators.” These....