Cred
Crypto Overview
Overview
CRED (LBA) was a cryptocurrency token associated with the Cred lending platform, which aimed to provide crypto-backed lending services. The project filed for bankruptcy in November 2020 and is no longer operational.
Purpose and Utility
The intended purpose of LBA tokens was to serve as a utility token within the Cred lending ecosystem, where users could stake LBA to receive better lending rates and participate in the platform's governance.
Business Model Analysis
The core business model was centered around crypto lending and borrowing services, where users could earn interest on their crypto deposits or take out loans using their crypto as collateral. This fundamental model involved interest-based lending, which is not compliant with Islamic finance principles.
Development and Platform Status
The project ceased operations in 2020 following bankruptcy proceedings. There is no current development activity or legitimate utility for the token.
Token Distribution and Governance
Due to the project's bankruptcy and cessation of operations, the token distribution and governance structures are no longer relevant.
Crypto Impact
To assign a comfort level investing in Cred 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 Cred.
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.