Router Protocol (Old)

Halal Rating :
Comfortable
Last Price $1.35 Last updated:
Rank 780
1D Change -7.16 %
Market Cap $22.65m
Circulating supply 16,792,120
Maximum supply 20,000,000

Crypto Overview

Categories
  • Interoperability
  • Coinbase Ventures Portfolio
  • Avalanche Ecosystem
  • Alameda Research Portfolio
  • Polygon Ecosystem
  • Cross-Chain

Overview and Intended Utility

Router Protocol aims to serve as a cross-chain infrastructure protocol that enables communication between different blockchain networks. Its primary purpose is to facilitate seamless asset transfers and cross-chain communication between various blockchain networks.

Business Model Analysis

The protocol's business model revolves around providing infrastructure for cross-chain transactions and communications, with the ROUTE token serving as both a governance token and utility token within the ecosystem. The protocol charges fees for cross-chain transactions, which are partially distributed to ROUTE token holders who participate in governance.

Real World Adoption and Usage

The protocol has demonstrated limited real-world adoption. While it has established partnerships with several blockchain projects, the actual usage metrics for cross-chain transfers remain relatively low compared to competing solutions.

Development Activity

Development activity appears to have slowed significantly, particularly after the announcement of a new version of the protocol. This raises concerns about the long-term viability of this older version.

Token Distribution

The token distribution shows a relatively concentrated allocation to team members and early investors, with significant portions released from vesting periods. This concentration of tokens raises some concerns about potential market manipulation.

Revenue Model Assessment

The revenue model is based on transaction fees from cross-chain transfers, which is compliant with Islamic principles as it represents payment for a legitimate service. The protocol does not involve interest-bearing mechanisms or explicit gambling features.

Crypto Impact

To assign a comfort level investing in Router Protocol (Old) 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 Router Protocol (Old).

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Justification for our Halal Rating