Extra Finance
Crypto Overview
Overview
Extra Finance is a decentralized finance (DeFi) protocol that aims to provide decentralized leveraged trading and yield farming opportunities. The EXTRA token serves as the protocol's governance token, allowing holders to participate in decision-making regarding protocol parameters and future development.
Purpose and Utility
The primary intended use of the EXTRA token is governance rights within the Extra Finance ecosystem. Token holders can vote on protocol upgrades, parameter adjustments, and treasury allocations. Additionally, users can stake EXTRA tokens to earn a share of protocol revenues.
Business Model Assessment
The core business model revolves around providing leveraged trading services and yield farming opportunities. The protocol generates revenue through trading fees and platform usage. While trading itself is permissible from a Shariah perspective, the leveraged trading and yield farming aspects of the protocol involve interest-based lending and borrowing mechanisms.
Platform Development and Adoption
The project shows ongoing development activity with regular updates to the protocol. However, the primary usage of the platform centers around lending and leveraged trading activities.
Token Distribution
Information about token distribution and vesting schedules is limited in publicly available sources. The project documentation does not provide clear details about founder allocations and lock-up periods.
Crypto Impact
To assign a comfort level investing in Extra Finance 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 Extra Finance.
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.