Sei
Crypto Overview
Purpose and Utility
Sei Network is a Layer 1 blockchain specifically designed to optimize trading performance. It claims to be the first sector-specific Layer 1 blockchain, built to handle high-frequency trading with minimal latency and maximum throughput. The SEI token is used for network security through staking, governance participation, and transaction fee payments.
Business Model Analysis
The network's primary focus is on providing infrastructure for decentralized trading applications, including spot trading, perpetual futures, and other financial products. While some trading applications built on Sei might involve activities that could be considered non-compliant (like interest-bearing products), the base layer infrastructure itself does not inherently violate Islamic principles.
Real-World Adoption
Since its mainnet launch in August 2023, Sei has attracted significant developer activity. Multiple decentralized exchanges and trading applications are being built on the platform. The network processes a substantial number of daily transactions, indicating genuine utility and adoption.
Platform Development
Sei demonstrates active development with regular updates and improvements to its core protocol. The project maintains an active GitHub repository and has a growing ecosystem of applications.
Token Distribution
The token distribution includes allocations for ecosystem growth, team members, and early investors with appropriate vesting schedules. While there is a significant allocation to insiders, the vesting schedules appear designed to align long-term incentives.
Revenue Model
The primary revenue streams come from transaction fees and network usage, which are permissible under Islamic principles as they represent payment for actual services rendered.
Crypto Impact
To assign a comfort level investing in Sei 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 Sei.
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.