What is Fei Protocol?
Fei Protocol (FEI) is a stablecoin protocol utilizing a new method called direct incentives to maintain price stability. FEI (Fei USD) is designed to allow for flexible upgrades and arbitrary incentive mechanisms to maintain its $1 USD peg target. This method is more capital efficient and fully decentralized, using value controlled by the protocol to maintain liquid secondary markets. FEI stablecoin is collateralized by a Protocol Controlled Value (PCV) reserve. Fei Protocol prioritizes liquidity when deploying its reserve to ensure users are able to trade FEI at high volume. The TRIBE governance token provides voting utility for managing the Fei DAO. Fei Protocol intends for TRIBE to have a balanced distribution between Community, Team, and Investors with highest priority given to rewarding the community. Users can provide liquidity to the FEI/TRIBE Uniswap LP pools to earn passive yield as a percentage of transaction fees.