THORChain
Crypto Overview
Overview
THORChain is a decentralized cross-chain liquidity protocol that enables users to swap cryptocurrencies across different blockchain networks without intermediaries. The RUNE token is central to the protocol's operation, serving as the settlement asset and being used for providing liquidity, securing the network through staking, and governance.
Intended Utility
The primary purpose of RUNE is to facilitate cross-chain asset exchanges and serve as the base pair for all liquidity pools in the THORChain ecosystem. It also functions as a governance token and staking asset for node operators who secure the network.
Actual Utility and Adoption
THORChain has demonstrated significant real-world adoption with over $500 million in Total Value Locked (TVL) as of 2024. The protocol processes millions in daily trading volume across multiple chains including Bitcoin, Ethereum, and various other networks. The platform has successfully implemented its cross-chain swapping functionality and continues to add support for new chains.
Token Distribution and Governance
The initial token distribution allocated 30% to early investors and team members, with vesting periods implemented to prevent immediate selling. The remaining 70% was distributed through various community initiatives and mining rewards. The project maintains active development with regular updates and improvements to the protocol.
Technology and Revenue Model
THORChain's revenue model is based on swap fees and liquidity provision, which are distributed to liquidity providers and node operators. The protocol doesn't involve interest-bearing mechanisms or lending, instead focusing on facilitating asset exchange across blockchains.
Crypto Impact
To assign a comfort level investing in THORChain 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 THORChain.
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.