Base Protocol
Crypto Overview
Purpose and Utility
Base Protocol is a cryptocurrency that aims to track the total market capitalization of all cryptocurrencies, serving as a synthetic asset that represents the entire crypto market in a single token. The protocol uses an oracle system to maintain this price peg.
Business Model Analysis
The business model involves creating a token that allows users to gain exposure to the entire cryptocurrency market through a single asset. The protocol does not involve any direct lending, gambling, or prohibited activities. The core mechanism relies on price feeds and market dynamics.
Real-World Adoption
The project has shown limited adoption since its launch. Trading volumes have been relatively low, though this does not affect its Sharia compliance status.
Platform Development
Development activity appears minimal based on public repositories. The core functionality of tracking market capitalization remains operational through oracle feeds.
Token Distribution
Token distribution information is limited, but the project launched with a fair distribution model without pre-mines for the team. There are no apparent vesting schedules or lock-up periods identified.
Technology Assessment
The protocol operates through smart contracts that track and replicate the total cryptocurrency market cap. This mechanism does not involve interest-bearing components or prohibited activities.
Crypto Impact
To assign a comfort level investing in Base Protocol 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 Base Protocol.
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.