It feels like airdrop season has been kicking off early this year, and who doesn't love airdrops?

Now, what if I told you there is an "Infinite Airdrop" you could start receiving right away?

Allow me to introduce you to: The Frax Finance Infinite Fraxtal Airdrop:

That's right..

AN INFINITE AIRDROP.

Eternal. Never-ending. Without end.

The Fraxtal Forevermore-drop

(Cath-phrase pending..)

It's no Secret that Frax Finance is my favorite DeFi(+DeFAi) protocol in all of web3 + Crypto.

But thats not unwarranted. Somehow the information I'm about to share with you has flown pretty under the radar.. I don't believe I've seen it covered by any of my favorite "AirDrop Hunters"..

So, allow me the honor of introducing you to an all new form of airdrop: Blockspace Incentives.

Aka a block to block airdrop.

Wild huh?

The protocol was already an absolute profit machine, before the launch of their custom Optimistic Validium L2 with multi-parallel DA layer L2 "Fraxtal", their new ETH Validator Lending market, innovations and partnerships in AI (see Master Thread), and recent partnership with BlackRock and Superstate, not to mention their soon to happen token upgrades (stablecoin renamed to $frxUSD and Sovereign chain gas token renamed to $FRAX), and dare I say, compared to all of their competitors they outperform in every category, yet somehow the market has continued to significantly under-value the protocol, which frankly baffles me.

The team ships bulletproof code, has a battle tested protocol, historically has the most stable stablecoin on chain, and are constantly leading innovation in the space; I've seen it said they chase narratives, and it's laughable and telling because the reality is they are always ahead of the Narrative, not chasing it.

Anyway.. enough with my ranting. The focal point of this thread is the Frax(tal) infinite airdrop. It was recently announced that FXTL points would convert to $FRAX (fka $FXS), earned through chain engagement scored by a custom modification of the Google page ranking algorithm, built straight into Fraxtal, known as "FLOX", thus becoming the sole means of capturing the tail emissions of Fraxtal Chain's Sovereign gas token $FRAX (fka $FXS). Given that $FRAX (fka $FXS) will soon officially be hardcapped, this is a huge announcement you can take full advantage of today.

Personally, all of my "idle assets" take full advantage of this opportunity.

It means that going forward, $FRAX will only be acquired 1 of 2 ways : $FXTL point conversions (ratio TBA), and veFRAX Validator Nodes.

On January 1st Frax officially voted to utilize BlackRock's BUIDL Fund as a backing asset for $frxUSD, while also set to enable 1:1 $USD redemptions and make use of SuperState's Cash Carry strategies. Simultaneously, frxUSD will become the premiere risk-adjusted yield instrument on chain, leveraging multiple stategies and protocols such as Ethena, Resupply!, and SuperState to supercharge frxUSD yields.

Why do I bring this up?

FXTL Points have been live for roughly 11 months, since February 2024 and users on Fraxtal earn FXTL through a wide variety of actions, from simply holding frx___ assets, to publishing transactions on chain and interacting with dapps.

Sound like pretty normal "snapshot" criteria for your usual airdrop, right??

Well, the FLOX distribution mechanics make FXTL points distribution really innovative and special, and I highly encourage you to look into it; the simplest explanation I can give you is that interactions with popular contracts on chain result in higher distribution of points per interaction than "internal transactions."!. This significantly mitigates "gaming" the system and significantly incentivizes interactions on Fraxtal.

Whats all this have to do with an airdrop you ask? Well. Let me explain. Frax has been cranking out big name DeFi partnerships left and right (Velodrome, Sonic, Resupply!, Near, Mellow, Inception, INK, and dozens more) and very soon, all of these partnerships will integrate frxUSD as a liquidity pair and likely POL, which will all result in steady FXTL entitlement, meaning less FXTL to go around. Additionally, through their partnerships with IQWiki and Near AI, Fraxtal will be, upon launch, the exclusive home to IQWiki's "AI Tokenization Platform" that, in conjunction with Frax's EVM-Parallel AI-VM, will unleash a whole network of Stateful Protocol-Enshrined AI onto Fraxtal and the Superchain economy; think Virtuals but with chain-verified stateful inference. (I anticipate these AI and the ATP platform to be amongst the largest FXTL earners.) These integrations and protocol partnerships will spike on chain activity, resulting in an increase in $FRAX consumption, and simultaneously raise competition for $FXTL Points and scarcity of $FRAX.

Personally, I think ownership of on-chain AI, and social platforms like Moxie or Lens will be the highest $FXTL earners, and (first time I've ever realized this) if I'm not mistaken, Governance and Gauge voting should probably be the highest yielding activities possible(? I'm going to dig more into this theory.)

Now, there are a few things that mathematically make this all really awesome:

$FRAX (fka $FXS) Hardcap + $FXTL --> $FRAX conversion ratio(TBD) = automatic %APR% boosts to every single integration on Fraxtal. Theoretically, this would mean that any yielding protocol or strategy or asset could migrate to Fraxtal and automatically yield more than it could anywhere else, and as soon as the FXTL conversion rationis released, I anticipate that becoming a well known and highly discussed topic. In theory, it would make both sfrxUSD and sfrxETH the highest yielding tokens in their categories, furthering increasing attractiveness, further incentivizing usage, and ... you get the picture. Flywheels on Flywheels.

So what's this mean for you today?

It means that, if I'm correct, the earlier you start interacting with Fraxtal, the sooner you'll start racking up FXTL points ahead of the conversion ratio announcements and subsequent apr hype that all have the potential to really make 2025 a stellar year for Frax Finance, which essentially means now is your best chance to maximize your FXTL earnings before things kick into high gear.

So, at minimum, start holding your idle assets on Frax, buildup a presence on Fraxtal. Ping the devs of your favorite protocol and tell them to check out "Fraxtal Blockspaxe Incentives", and if you're feeling generous, ping your fellow degens and let them know that:

The Fraxtal Infinite Airdrop is ongoing and in full effect and it won't be long before the onchain AI activity kicks into hyperdrive and those FXTL Points start looking better and better.