Snowbank

Project Overview

Snowbank (SB) was launched in November 2021 as a fork of OlympusDAO on the Avalanche network. It was designed as a reserve currency protocol that aimed to create a stable store of value through protocol-owned liquidity and treasury management.

Purpose and Utility

The intended purpose was to create a decentralized reserve currency backed by a basket of assets in the project's treasury. The protocol utilized bonding and staking mechanisms to maintain price stability and grow its treasury.

Current Status

As of 2024, Snowbank appears to be inactive with virtually no development activity, minimal trading volume, and a largely abandoned ecosystem. The project's social media channels and official communications have been dormant since early 2022.

Business Model Analysis

The original business model involved users staking SB tokens to earn rewards and participating in bonding mechanisms to grow the treasury. While these mechanisms themselves weren't inherently non-compliant from a Sharia perspective, the project's apparent abandonment raises significant concerns about its actual utility and purpose.

Token Distribution and Governance

The initial token distribution and governance structure are now difficult to verify due to the project's inactive status. Historical data suggests a significant portion of tokens were held by early participants and team members.