Solchat

Halal Rating :
Comfortable
Last Price $1.24 Last updated:
Rank 1118
1D Change 7.72 %
Market Cap $9.99m
Circulating supply 8,043,460
Maximum supply None

Crypto Overview

Project Overview

Solchat is a decentralized messaging protocol built on the Solana blockchain that aims to provide a censorship-resistant communication platform. The CHAT token serves as both a utility and governance token within the ecosystem.

Intended Utility

The primary intended purpose of CHAT tokens is to facilitate access to premium features within the Solchat messaging platform, including encrypted messaging, group chat creation, and content monetization. Token holders can also participate in governance decisions regarding protocol upgrades and feature implementations.

Actual Utility Assessment

Current on-chain data shows limited actual usage of the platform for its intended messaging purposes. While the protocol is operational, adoption remains relatively low. The project's GitHub repository shows moderate development activity, though updates have been inconsistent.

Token Distribution Analysis

The token distribution raises some concerns: 30% allocated to the team and advisors (locked for 2 years), 20% for ecosystem development, 30% for public sale, and 20% for liquidity provision. The vesting schedule appears reasonable, with team tokens locked for 24 months with gradual unlocking.

Business Model Evaluation

The platform's revenue model relies on premium feature subscriptions and transaction fees, which aligns with Islamic principles as it involves clear value exchange. No interest-bearing mechanisms or gambling elements are present in the core protocol.

Development vs Marketing

The project maintains a balance between development and marketing efforts, though marketing activities have increased significantly in recent months. The team has provided regular technical updates and roadmap progress reports.

Crypto Impact

To assign a comfort level investing in Solchat 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 Solchat.

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