DeFi Pulse Index
Crypto Overview
Purpose and Utility
DeFi Pulse Index (DPI) is a capitalization-weighted index token that tracks the performance of decentralized finance (DeFi) assets across the cryptocurrency market. Created by Index Coop, DPI provides exposure to a basket of DeFi tokens through a single asset.
Business Model and Operations
The index automatically rebalances monthly to maintain proper asset allocation according to market capitalization. Each token in the index must meet specific criteria including trading volume, smart contract security, and being listed on the DeFi Pulse leaderboard.
Real-World Adoption
DPI has achieved significant adoption among investors seeking diversified DeFi exposure. The index is traded on multiple decentralized exchanges and has maintained consistent trading volume since its launch in September 2020.
Platform Development
Index Coop actively maintains and updates the DPI methodology and underlying smart contracts. The protocol benefits from regular audits and improvements to its rebalancing mechanisms.
Token Distribution
The token distribution appears fair, with no excessive allocation to founders or early investors. The index tokens are minted and burned based on market activity and underlying asset composition.
Crypto Impact
To assign a comfort level investing in DeFi Pulse Index 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 DeFi Pulse Index.
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.