BitShares
Crypto Overview
Overview and Intended Utility
BitShares (BTS) was created in 2014 by Dan Larimer as a decentralized exchange (DEX) and smart contract platform. Its primary intended purpose was to create a decentralized financial platform that would enable users to trade digital assets, create market-pegged tokens, and participate in decentralized banking services.
Platform Features and Actual Usage
The platform includes several key components: a decentralized exchange, smart contracts capability, and the ability to create market-pegged tokens called BitAssets. These BitAssets are designed to track the value of real-world assets like the USD or gold. The platform utilizes Delegated Proof of Stake (DPoS) consensus mechanism, which is energy efficient and Shariah-compliant as it involves actual asset ownership and network participation.
Current State and Development
As of 2023, BitShares has seen significantly reduced development activity and community engagement compared to its early years. While the platform technically remains functional, its usage metrics have declined substantially. The DEX functionality continues to operate, but trading volumes are minimal compared to other decentralized exchanges.
Token Distribution and Governance
The initial distribution of BTS tokens was relatively fair, with no ICO and minimal founder allocation. The governance system allows token holders to vote on platform decisions and elect block producers, creating a legitimate utility for the token. However, the token's primary use has shifted towards speculation rather than its intended utility in governance and platform operations.
Crypto Impact
To assign a comfort level investing in BitShares 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 BitShares.
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.