PANews reported on December 29 that the Snapshot page showed that the algorithmic stablecoin protocol Frax Finance community initiated a proposal vote to use "USTB as collateral and custody asset for frxUSD", and the vote will end on January 1, 2025. The proposal aims to introduce USTB to provide stability, liquidity, and treasury bond returns as a reserve for stablecoins. USTB is used as a collateral asset with an initial cap of $100 million. Currently, USTB is being evaluated as a source of income for Polygon's PoS Bridge Assets and Sky's USDS reserves.
Frax community initiated a proposal vote on "USTB as frxUSD collateral and custody asset"
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