Frax is the first fractional-algorithmic stablecoin system, implemented on Ethereum and designed to provide a scalable, decentralized, algorithmic money alternative. It's a unique stablecoin with parts of its supply backed by collateral and parts algorithmic. The ratio between these depends on FRAX's market price, adjusting the collateral ratio to maintain stability around $1/coin. Frax emphasizes a decentralized, governance-minimized approach, using on-chain oracles like Uniswap and Chainlink for price information. The system includes two tokens: FRAX, the stablecoin, and Frax Shares (FXS), the governance token that accrues fees and revenue. Unlike previous stablecoins that were fiat collateralized, overcollateralized with cryptocurrency, or purely algorithmic, Frax introduces a novel fractional-algorithmic category, making it a distinctive and innovative player in the stablecoin market.