Sam Kazemian, the CEO and founder of Frax Finance (a decentralized finance protocol) that is home to one world’s biggest stablecoins), told CoinDesk during an interview that he plans to launch his layer 2 blockchain Fraxtal in February.

“The current timetable is the first full week of February.” Etherscan and Fraxscan will be supporting it from day one, while a slew projects will launch shortly after. Kazemian stated that it will be “certainly one of the largest rollup releases in the year”.

This new product will be added to Frax’s existing suite of products, which includes FRAX, the fully collateralized algorithmic stabilcoin; a lending platform; an automated market maker; an inflation-linked stabilizecoin (FPI); and frxETH, a liquid staking coin. According to CoinGecko, FRAX had a market capitalization of $647m at the time this article was written. This makes it the seventh largest stablecoin worldwide.

The decentralized stablecoin exchange Curve has already suggested that its exchange functionality be deployed on Fraxatal.

A layer 2 is an additional framework or protocol that can be built on top of a blockchain in order to improve the speed and efficiency of transactions. After Ethereum network congestion problems became apparent during the bull market in 2021, launched layer 2s.

Fraxtal uses rollups, which executes transaction off the Ethereum mainnet. It then batches the data and compresses it before sending it back to mainnet. Frax’s liquid stake token frxETH is used to power layer 2, and acts as gas for the chain. In blockchain, gas is the fee that’s paid to complete a transaction.

Kazemian believes that Fraxtal will debut with a bang and attract at least several hundred millions of dollars in crypto assets within the first month.

“We anticipate a minimum of a nine-figure value in the first quarter and at least $1 billion for Q1. Kazemian stated that if the innovations were well received, we would be in the top five chains within a few months.

Kazemian said that Fraxtal’s blockspace incentive feature, Flox, sets it apart from other layer 2s. Blockspace is the amount of data which can be stored per block in the blockchain. The incentive program and weekly FXTL points gauge will ensure that users and developers who pay for blockspace and use the chain earn a consistent yield.

Parikshit Miishra is the editor.