Arweave

Halal Rating :
Comfortable
Last Price $17.43 Last updated:
Rank 72
1D Change -4.25 %
Market Cap $1.14b
Circulating supply 65,652,466
Maximum supply 66,000,000

Crypto Overview

Categories
  • Distributed Computing
  • Filesharing
  • Storage
  • Coinbase Ventures Portfolio
  • Solana Ecosystem
  • Arrington XRP Capital Portfolio
  • Blockchain Capital Portfolio
  • a16z Portfolio
  • Multicoin Capital Portfolio
  • Web3

Understanding Intended Utility

Arweave is a decentralized storage network designed to provide permanent, immutable data storage. The protocol aims to create a 'permaweb' - a permanent version of the internet where data cannot be deleted or modified. The AR token serves as the native currency for paying storage fees and rewarding miners who maintain the network.

Business Model Evaluation

The business model is based on a one-time payment for permanent storage, where users pay upfront in AR tokens for storing data indefinitely. Miners are incentivized through block rewards and storage fees. The model appears transparent and focuses on legitimate technological innovation in data storage.

Real-World Adoption

Arweave has gained significant traction, particularly in Web3 applications. Notable partnerships include Meta (formerly Facebook) for storing digital collectibles, and integration with Solana for blockchain data storage. The network has processed over 100 million transactions and stores hundreds of terabytes of data.

Development Activity

The project maintains active development with regular protocol updates. The ecosystem includes numerous applications built on top of Arweave, such as Mirror (decentralized publishing), ArDrive (file storage), and atomic NFTs. Developer activity metrics show consistent contribution to the codebase.

Token Distribution

Initial token distribution allocated 55% to investors and team members, with vesting periods implemented. Current circulation shows broader distribution, with no single entity holding a controlling stake. Team tokens were subject to multi-year vesting schedules to align long-term incentives.

Technology Assessment

The protocol uses a unique 'blockweave' structure and proof-of-access consensus mechanism. Revenue model is based on storage fees rather than interest or lending. No apparent involvement in prohibited industries or activities.

Crypto Impact

To assign a comfort level investing in Arweave from a halal perspective we need to determine whether it has a net positive or negative impact.

Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to Arweave.

If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.

We will review your contribution for accuracy before publication.

Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.

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Justification for our Halal Rating