This ultimately rewards $FXS (or $veFXS ) stakers as most of the revenues generated through AMOs and other mechanisms are cycled back to $FXS believers
We will have to monitor closely as it has already performed relatively well past few days
A big contributor will naturally be the #ShanghaiUpgrade - as more validators unstake their $ETH, this once again concentrates yield to current remaining validators which will decrease short-mid term
This naturally can potentially bring up expected yield for $sfrxETH even higher
With 131,146 $ETH staked, $sfrxETH is producing a projected $sfrxETH APR of 5.17%
With even half of the $ETH pair even being converted to $frxETH will boost up yield for $sfrxETH by 15%
Obviously the chances of all the LPs converting into $frxETH is highly unlikely, however, with additional $CRV and additional rewards concentrated to these pools, there is a high chance some of the LPs will swap for higher and safe yield
These pools will be receiving $FXS bribes - but what effect does this have on Frax as a whole?
These pools currently consist of more than $74 M ETH (~39.8 K $ETH) that can potentially be staked and swapped to $frxETH
Thus exponentially increasing the yield for $frxETH