# Reflexer Finance > A decentralized and non-pegged stable asset that defies fiat currencies Reflexer lets users mint RAI stablecoins by depositing ETH as collateral, using algorithmic rate adjustments to maintain stability. Reflexer helps users generate ETH-backed stable assets without fiat pegs through collateralized debt positions called SAFEs. Users deposit ETH to mint RAI, which maintains relative stability through an automated PID controller that adjusts redemption rates based on market conditions. The protocol minimizes governance dependence through the FLX token system, enabling algorithmic monetary policy decisions rather than manual intervention. - Type: Company - Sector: Finance - Status: Active - Founded: 2021-02-01 - Profile: https://thegrid.id/profiles/reflexer_finance ## Products - [RAI Protocol](https://thegrid.id/profiles/reflexer_finance): RAI Protocol issues ETH-backed stablecoins through collateralized debt positions, enabling users to mint RAI against deposited ETH collateral. The system deploys an on-chain PID controller to manage floating redemption rates that incentivize market participants toward price equilibrium. This architecture maintains stability through automated revaluation mechanisms without targeting fixed pegs, allowing the protocol to devalue or revalue RAI based on market dynamics. (Stablecoin Issuer, Live, Main Product) - [Reflexer Earn](https://thegrid.id/profiles/reflexer_finance): Reflexer Earn provides multiple reward programs for protocol participants, including FLX/ETH LP token staking that serves as protocol security backstop and RAI liquidity incentives across Uniswap pools. Stakers receive FLX token rewards through buyback mechanisms funded by protocol fees while liquidity providers earn incentives for maintaining RAI market depth. The staking component monitors protocol capitalization and triggers LP auctions during undercollateralization events to maintain system solvency. (Staking Service, Live) ## Assets - [RAI (RAI)](https://thegrid.id/profiles/reflexer_finance): RAI is an ETH-backed stablecoin issued by Reflexer Finance. It is used by SAFE users who generate RAI with their ETH and by RAI holders who use it in other protocols and apps, with the protocol transferring value between both parties to incentivize them to bring the market price back to target. Unlike fiat-pegged stablecoins, the protocol constantly devalues or revalues RAI through a redemption rate that adjusts the redemption price, allowing the price to float rather than defend a fixed exchange rate. (Stablecoin) - [Flex Ungovernance Token (FLX)](https://thegrid.id/profiles/reflexer_finance): FLX is the governance token of Reflexer Finance. It is used to vote on progressively removing governance capabilities from the RAI protocol and serves as backstop collateral during system undercollateralization events. The "ungovernance" model aims to minimize human control over time, allowing the protocol to operate autonomously through algorithmic mechanisms rather than manual intervention. (Governance) ## Links - [Main](https://www.reflexer.finance) - [Privacy policy](https://reflexer.finance/privacy) - [Documentation](https://docs.reflexer.finance) - [Forum](https://community.reflexer.finance) - [Twitter / X](https://x.com/reflexerfinance) - [Discord](https://discord.gg/AXwXHGsTaJ) - [GitHub](https://github.com/reflexer-labs) - [Medium](https://medium.com/reflexer-labs) - [Substack](https://reflexer-labs.substack.com) ## Legal This data is provided under two licensing models. Model 1 - open data. The open data core is licensed under the Open Database License (ODbL) — a copyleft/share-alike license allowing free use, modification, and sharing for any purpose. Attribution is required: include "Powered by The Grid" linking to https://thegrid.id wherever the data is used. Derivative databases must be shared under ODbL terms. Trademarks, logos, and brand names (marked "Special TPIP") are not covered by the ODbL. 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