Frax Finance is a fractional-algorithmic stablecoin protocol that uses both collateralization and algorithmic processes to create its decentralized stablecoin, FRAX. The collateral ratio, which is the ratio of collateral needed to back $1 of FRAX, varies with time and is solely determined by market forces. Only stablecoins are currently accepted as collateral by the protocol, with plans to accept more volatile collateral like wrapped BTC as the protocol is increasingly adopted