Frax (prev. FXS) Price Prediction: 2025, 2030, 2040

A New Law and a New Code: Frax's 2025 Overhaul Shakes Up Crypto

LAS VEGAS, NV - With the crypto market buzzing in mid-2025, everyone seems to be talking about Frax Finance. The project is in the middle of a massive reinvention, spurred on by a game-changing US stablecoin law and a bold plan called the "2025 Vision Roadmap." It's a make-or-break moment as Frax retools its tokens, beefs up its Fraxtal blockchain, and builds serious bridges to old-school finance.

The ground shifted when the U.S. House passed the Guiding and Establishing National Innovation for U.S. Stablecoins (GENIUS) Act. Signed into law by President Donald J. Trump on July 18, 2025, the act finally gives stablecoins federal rules to live by. It forces them to hold 1:1 liquid assets and undergo regular audits, bringing a welcome dose of certainty to the market. News of the GENIUS Act lit a fire under the Frax token, which reportedly jumped on the announcement.

Speculators are split on where FRAX is headed this July. Cautious algorithms peg its value around $2.51 to $2.57. The bulls are dreaming bigger, eyeing a range between $3.74 and $4.01. Some long-term charts even point to a possible $5.90 valuation by the close of 2029.

The "2025 Vision": Building a Crypto Central Bank

The real engine behind the hype is Frax’s ambitious plan to become something like a "decentralized central bank of crypto." That vision is already unfolding across a few key fronts.

First, the project completely changed its token structure. The old Frax Shares (FXS) governance token is gone, reborn simply as FRAX. This new FRAX is now the lifeblood of Fraxtal, the company's own Layer 2 network, used to pay for gas fees and for staking. The switch neatly ties the token's value directly to how much action Fraxtal sees. An upcoming network upgrade, the Fraxtal North Star Hard Fork, promises to make the blockchain lightning-fast, ready for apps that need to handle a ton of traffic.

Next, the original FRAX stablecoin got its own upgrade, now called frxUSD, and you can redeem it directly for US dollars. In a huge step, the Frax community greenlit a plan to use BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) as a reserve asset. This move, managed through the Securitize platform, means frxUSD is backed by hard assets like cash and U.S. Treasury bills, making it far more stable and trustworthy. Founder Sam Kazemian explained the partnership combines "the transparency and programmability of blockchain technology with the trust and stability of BlackRock's prime treasury offerings."

Finally, Frax is making a bold play for the AI world. It's building an "AIVM" (Artificial Intelligence Virtual Machine) right inside Fraxtal. This specialized blockchain will run on a new "Proof-of-Inference" system, designed to let autonomous AI agents run wild. By teaming up with the IQ project, Frax is planting its flag at the frontier of a new tech boom, hoping to pull in developers and get its community buzzing.

Good Timing and a Vocal Community

It doesn't hurt that the timing is good. By July 2025, the market is about 15 months past the last Bitcoin halving in April 2024, a point that has historically kicked off bull runs. While this cycle has been calmer, Bitcoin has found a comfortable floor between $118,000 and $120,000. The approval of spot Bitcoin ETFs has also brought a flood of institutional money, making the entire market feel more grown-up.

Frax’s secret weapon might just be its dedicated community. The project’s forums show a group that knows what it wants, passing the "Frax North Star Proposal" (FIP-428) to lock in the plan for FRAX as Fraxtal’s gas token. The proposal also rolled out a new rewards plan to get more people involved. There’s also serious talk about giving protocol fees back to long-term veFXS holders, a move that would encourage staking and likely pull more tokens out of circulation.

As Frax keeps pushing its vision forward, it has a powerful mix of new tech, friendly laws, and a hot market at its back. The mission, as Kazemian puts it, is to build "the infrastructure that makes DeFi intuitive, accessible, and scalable for the next billion users entering crypto." Now, the world is waiting to see if that ambition will pay off for the FRAX token.