Reflexer is a decentralized finance protocol where anyone can use their crypto collateral to issue reflex indexes like RAI.
As of now, Reflexer has launched an ETH-only version of the protocol, with the RAI token, Reflexer's first reflex index, being an ETH-backed, non-pegged stable asset whose monetary policy is managed by an on-chain, autonomous controller. Reflex indexes are stable assets that are not pegged to anything, very similar to how the US Dollar is not pegged and is still considered stable.
Some of the main use cases for Reflexer and RAI include:
- Borrowing against ETH with very attractive rates (Reflexer has a negative stability fee currently)
- Leveraging (longing) ETH
- Using RAI as a trust-minimized stable asset (instead of using stablecoins such as DAI or USDC)