Coin98 Dollar
Crypto Overview
Purpose and Utility
Coin98 Dollar (CUSD) is designed as a decentralized stablecoin within the Coin98 ecosystem, intended to maintain a 1:1 peg with the US Dollar. It aims to facilitate cross-chain transactions and provide a stable medium of exchange across different blockchain networks.
Business Model Analysis
The stablecoin operates through a collateralization mechanism using other cryptocurrencies as backing assets. However, the primary concern from a Shariah perspective is that CUSD appears to be integrated with interest-bearing lending and borrowing protocols within the Coin98 ecosystem.
Real-World Adoption
The stablecoin has limited adoption outside of the Coin98 ecosystem's DeFi protocols. Most of its current usage appears to be centered around lending and borrowing activities.
Platform Development
The Coin98 ecosystem shows active development, with regular updates and improvements to their infrastructure. The team maintains transparency in their development process through public GitHub repositories.
Token Distribution
While the token distribution appears reasonable, the primary issue isn't with the distribution but rather with the fundamental design and use cases of the stablecoin, which are heavily integrated with interest-based financial services.
Crypto Impact
To assign a comfort level investing in Coin98 Dollar 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 Coin98 Dollar.
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.