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Frax Finance founder Sam Kazemian said that an open market is the best way to run a liquid staking validator, and Frax Ether V2 will remove trust restrictions and allow anyone to run a validator "in a permissionless manner" . Kazemian said that in the next iteration of Frax, the primary way to become a validator is to stake Ethereum ETH as collateral. Users will then "borrow" the validator and control it, as long as they pay some kind of interest rate, which is the open market rate that the market is willing to pay to run a validator and get rewarded. According to the company website, the Frax ecosystem is a self-sufficient DeFi economy utilizing stablecoins as currencies.


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