How are new Frankos created?

Number of frankos over time, assuming a perfect 30-second interval.

New frankos are generated by the network through the process of "mining". In a process that is similar to a continuous raffle draw, mining nodes on the network are awarded frankos each time they find the solution to a certain mathematical problem (and thereby create a new block). Creating a block is a proof of work with a difficulty that varies with the overall strength of the network. The reward for solving a block is automatically adjusted so that roughly every 22 years of operation of the Franko network, half the amount of frankos created in the prior 22 years are created. 

Blocks are mined every 30 seconds, on average and for the first 22 years (22,000,000 blocks) each block included 0.25 new bitcoins. As the amount of processing power directed at mining changes, the difficulty of creating new frankos changes. This difficulty factor is calculated every 720 blocks and is based upon the time taken to generate the previous 720 blocks.