Context

Documentation and Context

Inspired by the concept of Frankencoin.com we searched and discovered the same contract on BNB chain but instead of the Swiss Currency with the USDT currency.

This documentation is an adoption of the https://docs.frankencoin.com/ as of mid april 2024

This website provides technical documentation for the Oracle Free Dollar (OFD) system, allowing readers to better understand how they can interact with it. For a deeper analysis of its economic properties, we refer to the research paper of the Frankekcoins and for actually interacting with the system, we hope there will be a front-end at one point. The name Oracle-Free-Dollar hints at its self-governing nature, but also the risks associated with releasing an artificial machinery into the wild.

The OFD is a collateralized stablecoin that is intended to track the value of the USD. It's governance is decentralized, with anyone being able to propose new minting mechanisms and anyone who owns more than 2% of the voting power having the power to veto proposals. The initial minting mechanism builds on a novel auction-based price detection and liquidation mechanism first described in the (outdated) Frankencoin research paper. A more recent and complete specification can be found here. Unlike other collateralized stablecoins, OFD does not depend on external oracles and is therefore also very versatile with regards to the used collateral.

Here is the image from the Frankencoin - Concept. Mentally replace "Frankencoin" with "Oracle Free Dollar" and then you have the current OFD system.