NEAR Protocol
Crypto Overview
Purpose and Intended Utility
NEAR Protocol is a layer-1 blockchain platform designed to be user-friendly and scalable through its unique sharding mechanism called Nightshade. The platform aims to serve as an infrastructure for decentralized applications (dApps) with a focus on developer and user experience.
Business Model Analysis
The protocol generates revenue through transaction fees, which are partially burned and partially distributed to validators. This model aligns with Islamic principles as it represents fair compensation for actual services rendered.
Real-World Adoption
NEAR has demonstrated significant adoption with over 20 million accounts created and partnerships with major organizations including Sweatcoin, which migrated its 13 million users to NEAR. The ecosystem hosts numerous dApps across DeFi, NFTs, and Web3 applications.
Development Activity
The platform maintains strong development activity with regular updates and improvements. The NEAR Foundation actively supports ecosystem growth through grants and development initiatives. GitHub activity shows consistent contributions from a diverse developer community.
Token Distribution
Initial token distribution allocated 17.2% to core team members with a 4-year vesting period, 11.7% to early ecosystem contributors, and 14% to foundation treasury. The remaining tokens were distributed through ecosystem development (11.4%), community grants (10%), and other strategic allocations. Vesting schedules are transparent and designed to ensure long-term alignment.
Marketing vs Development
NEAR demonstrates a balanced approach between marketing and development, with substantial resources allocated to technical development, ecosystem growth, and education initiatives. The NEAR Foundation's financial reports show significant investment in protocol development and ecosystem support.
Crypto Impact
To assign a comfort level investing in NEAR Protocol 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 NEAR Protocol.
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.