🧀Overview
Frankencoin (ZCHF), Frankencoin Share Token (FCS) and the structure of the system.
Structure and Purpose
Frankencoin is a collateral-backed Swiss franc stablecoin system. This documentation explains minting, savings, equity and governance. The application provides transaction interfaces; the research publication examines the economic model. Documentation feedback belongs in the Frankencoin Telegram group; the source is the GitBook repository.
Frankencoin (ZCHF) and Frankencoin Share Token (FCS)
Stablecoin intended to track the Swiss franc
Canonical governance and share token, representing participation in the system's equity
FCS holders participate in governance and share the economic gains and losses of the reserve's equity capital. Start with investing and pool shares for acquisition, voting and exits, then use the FCS mechanics reference for contract rules. Existing FPS and WFPS holders can use the migration guide.
FPS continues as the underlying equity token: each FCS wraps one FPS. The Equity contract holds capital and prices that underlying token. Its Ethereum address, supply and prices remain FPS identities, not FCS data. The mechanics reference identifies the audited FPS2 version behind the FCS design.
ZCHF has no fixed redemption promise for Swiss francs. Collateral, reserves, borrowing costs and market activity support its exchange rate. Auctions test the value of collateral without an external price oracle. They can take days, so their response differs from oracle-triggered liquidations. Positions describe the mechanism; Risks describes its failure modes.
Net fees and liquidation results change equity capital; losses reduce it. FCS governance uses vetoes, with time-weighted votes rather than token balances alone. A qualified action needs more than 1% of internal FCS voting power and the FCS contract meeting the underlying FPS quorum.
Use Cases
Payments
ZCHF can be transferred between addresses or used through payment services. The Frankencoin website lists services. On another chain, the token address, network and transfer route identify the asset; see cross-chain transfers.
Store of Wealth
ZCHF provides Swiss franc-denominated exposure on-chain. Its market price can diverge from one Swiss franc. Savings pays a governance-set rate to deposited ZCHF, with terms that depend on the savings contract version.
Borrowing / Seignorage
Users can mint ZCHF against collateral in a position. The position records collateral and an amount to repay. A mint deducts the applicable up-front fee and retains a minter reserve, so the wallet receives less than the gross minted amount. The opening, cloning and adjustment guides explain the terms.
Technical Architecture
ZCHF token and approved minting modules
Create, move and burn ZCHF under each module's rules
MintingHub and positions
Manage collateral-backed minting, challenges and settlement
FCS and governance modules
Provide the share-token interface, time-weighted voting and ZCHF entry and exit paths
Underlying Equity / FPS
Hold equity capital, price the FPS backing and maintain the underlying votes used by FCS
Savings
Pay interest from the system to deposited ZCHF
Stablecoin-conversion bridges
Exchange ZCHF against a specified external stablecoin under a limit and expiry
Cross-chain bridges
Transfer ZCHF between supported chains; distinct modules send voting snapshots
The governance application lists proposed modules and their state. The early architecture used an XCHF bootstrap bridge; that historical example is not a statement about today's module count or bridge availability.
Last updated
Was this helpful?