Cosmos

Halal Rating :
Comfortable
Last Price $6.5 Last updated:
Rank 53
1D Change -0.25 %
Market Cap $2.53b
Circulating supply 390,934,204
Maximum supply None
Crypto Overview Crypto Impact

Crypto Overview

Categories
  • Platform
  • Cosmos Ecosystem
  • Content Creation
  • Interoperability
  • Ethereum Ecosystem
  • Polychain Capital Portfolio
  • DragonFly Capital Portfolio
  • Hashkey Capital Portfolio
  • 1Confirmation Portfolio
  • Paradigm Portfolio
  • Exnetwork Capital Portfolio
  • Polygon Ecosystem
  • Injective Ecosystem
  • Canto Ecosystem
  • Osmosis Ecosystem
  • Layer 1
  • Alleged SEC Securities

Purpose and Utility

Cosmos (ATOM) is designed as an ecosystem of interconnected blockchains that can scale and interoperate with each other. The ATOM token serves multiple legitimate purposes: it's used for network security through staking, governance voting on protocol changes, and as a medium of exchange within the Cosmos ecosystem.

Business Model Analysis

The business model centers around providing blockchain interoperability solutions through the Inter-Blockchain Communication (IBC) protocol. The ecosystem currently hosts over 200 apps and services, with significant real-world adoption by major projects like Binance Chain, THORChain, and Terra.

Development Activity

Cosmos maintains strong development activity with regular updates to its core protocol. The GitHub repository shows consistent contributions, and the ecosystem continues to expand with new chains joining the network.

Token Distribution

The initial token distribution allocated 10% to the Cosmos Foundation, 10% to All In Bits Inc., 20% to early fundraiser participants, and 60% to validators and delegators. Vesting periods were implemented for early stakeholders to ensure long-term alignment.

Revenue Model

The primary revenue mechanism comes from transaction fees and staking rewards, which are distributed to validators and delegators who secure the network. This model aligns with Islamic principles as it represents payment for actual services rendered.

Ecosystem Activities

While some applications built on Cosmos may involve lending or interest-bearing products, the core ATOM token and its primary uses (staking, governance, and network security) do not inherently involve prohibited activities.

Crypto Impact

To assign a comfort level investing in Cosmos 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 Cosmos.

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.

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