Indexed Finance
Crypto Overview
Overview
Indexed Finance (NDX) is a DeFi protocol that aims to facilitate the creation and management of tokenized cryptocurrency index funds. The platform was designed to make it easier for users to gain exposure to diversified crypto portfolios through automated index management.
Purpose and Utility
The NDX token serves as a governance token for the Indexed Finance protocol, allowing holders to participate in decision-making regarding protocol parameters, index composition, and treasury management. The protocol itself provides index tokens that track various sectors of the cryptocurrency market.
Business Model Analysis
The protocol generates value through index rebalancing and management fees. Index tokens represent real cryptocurrency assets held in smart contracts, making the underlying business model compliant with Islamic principles as it involves actual asset ownership and exchange.
Development and Usage
Following a significant exploit in October 2021, the protocol's development and usage have largely ceased. While the technology behind the protocol remains innovative, the project has experienced minimal activity since the incident.
Token Distribution
The initial token distribution included allocations for the team, early investors, and the community. The project implemented vesting schedules for team tokens, showing some consideration for long-term alignment of interests.
Crypto Impact
To assign a comfort level investing in Indexed 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 Indexed 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.