Vee Finance
Crypto Overview
Overview
Vee Finance is a decentralized lending platform built on the Avalanche blockchain that aims to connect DeFi with traditional financial (TradFi) assets. The platform allows users to participate in lending, borrowing, and leveraged trading.
Purpose and Utility
The VEE token serves as the platform's governance token, allowing holders to participate in decision-making processes regarding protocol parameters and development. It's also used for fee discounts and revenue sharing within the ecosystem.
Business Model Analysis
The core business model revolves around lending and borrowing crypto assets, which inherently involves interest-based transactions. The platform generates revenue through trading fees, lending fees, and liquidation fees.
Real-World Adoption
The platform has faced significant challenges since suffering a $35 million hack in September 2021. After this security incident, platform activity and adoption have remained limited. While the team has implemented security improvements, the ecosystem hasn't recovered to pre-hack levels.
Development Activity
Development activity appears to be ongoing, though at a reduced pace compared to pre-hack levels. The team continues to maintain the platform and implement security updates.
Token Distribution
The token distribution includes allocations for the team, early investors, and community incentives. Specific vesting schedules are in place to prevent immediate dumps of tokens.
Crypto Impact
To assign a comfort level investing in Vee Finance 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 Vee Finance.
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.