ParaSwap
Crypto Overview
Overview
ParaSwap is a decentralized exchange (DEX) aggregator that allows users to get the best prices across multiple DEXs by splitting and optimizing trades. The PSP token is the protocol's native governance token, giving holders voting rights on protocol decisions and parameters.
Purpose and Utility
The primary purpose of PSP is to serve as a governance token for the ParaSwap protocol. Token holders can vote on protocol upgrades, fee structures, and other important protocol decisions. Additionally, PSP tokens can be staked to earn a share of protocol revenues.
Business Model
ParaSwap generates revenue through trading fees from its DEX aggregation service. The protocol splits these fees between PSP stakers and the treasury. The core service of optimizing trades across DEXs provides clear utility by helping users get better prices on their trades.
Real-World Adoption
ParaSwap has achieved significant adoption in the DeFi ecosystem, with consistent trading volume and integration with major wallets and platforms. The protocol has processed billions in trading volume and maintains active development.
Token Distribution and Governance
The token distribution includes allocations for the community, team, and early investors with standard vesting schedules. The governance system is actively used for protocol decisions, showing genuine decentralized governance utility.
Development Activity
The project maintains active development with regular updates to the protocol and new feature releases. The team consistently works on improving the trading algorithm and adding new DEX integrations.
Crypto Impact
To assign a comfort level investing in ParaSwap 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 ParaSwap.
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.