THORChain

Halal Rating :
Comfortable
Last Price $1.2 Last updated:
Rank 136
1D Change 4.15 %
Market Cap $433.98m
Circulating supply 351,689,473
Maximum supply None

Crypto Overview

Categories
  • Cosmos Ecosystem
  • Decentralized Exchange (DEX) Token
  • DeFi
  • DEX
  • Multicoin Capital Portfolio
  • Exnetwork Capital Portfolio
  • Injective Ecosystem

Overview

THORChain is a decentralized liquidity protocol that enables cross-chain asset swaps across different blockchain networks. RUNE serves as the native token of the THORChain protocol, playing a crucial role in facilitating cross-chain swaps and providing liquidity.

Purpose and Utility

The primary purpose of THORChain is to enable decentralized exchange of assets across different blockchain networks without wrapped tokens or centralized intermediaries. RUNE tokens serve multiple utilities: They are used as the intermediary asset in cross-chain swaps, provide security through node operation, and serve as the protocol's governance token.

Business Model Analysis

THORChain's business model centers around providing infrastructure for decentralized cross-chain exchanges. The protocol generates revenue through swap fees, which are distributed to liquidity providers and node operators. This model aligns with halal principles as it provides a clear utility service and involves actual asset exchange rather than interest-bearing mechanisms.

Real-World Adoption

THORChain has demonstrated significant adoption with over $2.5 billion in total swap volume. The protocol supports multiple blockchain networks including Bitcoin, Ethereum, Binance Smart Chain, and others. Active development and regular updates indicate genuine utility and ongoing platform improvement.

Token Distribution and Governance

RUNE's distribution model includes allocations for node operators, liquidity providers, and protocol treasury. The project maintains transparency in token distribution and governance processes. There are no concerning patterns in founder token holdings or vesting schedules that would suggest a scheme to enrich founders.

Rating Justification

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