Optimism

Halal Rating :
Comfortable
Last Price $1.71 Last updated:
Rank 50
1D Change -3.14 %
Market Cap $2.15b
Circulating supply 1,255,070,491
Maximum supply 4,294,967,296

Crypto Overview

Categories
  • Layer 2
  • Optimism Ecosystem

Project Overview

Optimism is a Layer 2 scaling solution for Ethereum that uses optimistic rollup technology to increase transaction throughput and reduce fees while maintaining Ethereum's security guarantees. The OP token serves as the protocol's governance token, allowing holders to participate in the Optimism Collective's decision-making process.

Intended Utility

The primary purpose of OP is governance and ecosystem development through the Optimism Collective, a bicameral system consisting of the Token House (OP holders) and Citizens' House. Token holders can vote on protocol upgrades, treasury allocations, and project funding through the Token House.

Actual Utility & Adoption

Optimism has demonstrated significant real-world adoption with over $1.5B in Total Value Locked (TVL) as of 2024. The network processes millions of transactions monthly, with major DeFi protocols and applications deployed on the platform. The OP token is actively used for governance, with regular proposal voting and community participation.

Token Distribution & Founder Analysis

The token distribution shows a balanced approach: 19% allocated to investors, 19% to core contributors (with 4-year vesting), 25% to ecosystem fund, and 37% to future airdrops and user incentives. The project maintains transparency through regular development updates and financial reports.

Technology & Revenue Model

The protocol generates revenue through transaction fees, which are distributed to sequencers and the protocol treasury. The technology focuses on scaling Ethereum without compromising on decentralization or security principles.

Crypto Impact

To assign a comfort level investing in Optimism 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 Optimism.

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.

Justification for our Halal Rating