Moola Celo USD
Crypto Overview
Overview
Moola Celo USD (mCUSD) is a lending protocol built on the Celo blockchain that enables users to lend and borrow the Celo Dollar (cUSD) stablecoin. The protocol is designed to facilitate lending and borrowing services while generating yield for lenders through interest payments from borrowers.
Purpose and Utility
The primary purpose of mCUSD is to serve as a lending protocol token that represents deposits of cUSD in the Moola Market lending platform. When users deposit cUSD, they receive mCUSD as a receipt token that accrues interest over time based on borrowing demand.
Business Model Analysis
The core business model revolves around interest-based lending and borrowing, where lenders earn interest from borrowers through the protocol. This model fundamentally relies on riba (interest), which is prohibited in Islamic finance when not done as an act of charity.
Platform Activity and Adoption
The protocol has seen adoption within the Celo ecosystem, though specific recent usage statistics are limited. The platform continues to operate as a lending protocol with active lending and borrowing activities.
Token Distribution and Governance
mCUSD tokens are minted when users deposit cUSD and burned when they withdraw, making it a purely receipt token for lending activities. There is no separate governance token or team allocation.
Crypto Impact
To assign a comfort level investing in Moola Celo USD 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 Moola Celo USD.
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.
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