Balanced
Crypto Overview
Overview
Balanced is a DeFi protocol built on the ICON blockchain that allows users to take out loans using ICX (ICON's native token) as collateral. The BALN token serves as a governance token for the Balanced protocol, enabling holders to participate in decision-making regarding protocol parameters and upgrades.
Purpose and Utility
The primary purpose of BALN is to provide governance rights within the Balanced ecosystem. Token holders can vote on proposals affecting protocol parameters, fee structures, and platform development. Additionally, BALN holders can earn a portion of protocol fees by staking their tokens.
Business Model Analysis
The core business model revolves around lending and borrowing activities, where users can obtain loans using their ICX as collateral. This model inherently involves interest-bearing transactions, which raises concerns from an Islamic finance perspective.
Real-World Adoption
The protocol has seen adoption within the ICON ecosystem, primarily for lending and borrowing activities. The governance mechanism is actively used by token holders to participate in protocol decisions.
Platform Development
The project maintains active development, with regular updates and improvements to the protocol. The development team continues to enhance features and address community feedback.
Crypto Impact
To assign a comfort level investing in Balanced 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 Balanced.
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.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.