Osmosis (OSMO) is an automated market maker protocol (AMM) for the ATOM ecosystem. It provides tool like token swaps and offer users DeFi functionality for a cross-chain world. Osmosis has customizable liquidity pools, allows for providing liquidity to pools with several tokens and unequal ratios. One of the features in Osmosis is provide liquidity for other platform (ATOM, JUNO, AXL, CRO etc). It trigger Shariah issues when one or many of these platform are using the liquidity for lending and borrowing activity. So, we classified OSMO as grey.
| Category | Details | Status |
|---|---|---|
| Legitimacy | Not regulated by any countries or regulatory bodies. The project has a clear roadmap and genuine product on the blockchain, while the token/coin has a fundamental underlying value that allows it to be categorized as "Mal" | Passed |
| Project | Osmosis (OSMO) is an automated market maker protocol (AMM) for the ATOM ecosystem. It provides tool like token swaps and offer users DeFi functionality for a cross-chain world. Osmosis has customizable liquidity pools, allows for providing liquidity to pools with several tokens and unequal ratios. One of the features in Osmosis is provide liquidity for other platform (ATOM, JUNO, AXL, CRO etc). It trigger Shariah issues when one or many of these platform are using the liquidity for lending and borrowing activity | Grey |
| Financials | The token is not backed by any equity, thus there is no financial screening on this token | Passed |
| Token | The token use for governance token and paying transaction fees | Passed |
| Staking Method | Superfluid staking: When users deposit any two supported tokens into an Osmosis liquidity pool, they will be able to stake their liquidity shares to validators on the tokens' chains. It trigger Shariah issues when one or many of these platform are using the liquidity for lending and borrowing activity or any non-Shariah activity | Grey |
Read the source document and verify project fundamentals.