Halal Aspects
- Legitimate Project: Maverick is recognised as a legitimate decentralized finance project, developed by an identifiable team, reducing concerns of it being a scam.
- Innovative DeFi Access: The project’s goal to build an advanced AMM and liquidity infrastructure could democratize access to decentralized finance in a more equitable manner.
- Staking Mechanism: The staking feature in Maverick, which allows MAV holders to gain voting power and liquidity incentives, resembles profit-sharing arrangements. This could be seen as permissible in Shariah law, provided the ecosystem develops appropriately.
Haram Aspects
- Utility and Value Alignment: There’s a need for careful assessment of Maverick’s utility and value alignment, especially to ensure activities like gambling, which are not Shariah-compliant, are discouraged.
- Financial Stability: The project’s financials are still in the early stages, with a notable lack of inherent assets backing MAV, which is a point of concern from a Shariah investment perspective.
- Token Speculation: Currently, the value of MAV seems to be driven mainly by speculation, which is not aligned with Islamic investment principles that favor real economic activity over speculative gains.
- Lack of Oversight: The absence of oversight and clear guidance on the project’s alignment with Islamic ethics makes it a risky choice for conservative Muslim investors.
Verdict for now:
While Maverick Protocol shows technological promise in expanding access to decentralised finance, its current speculative nature make it a cautious choice for conservative Muslim investors. It’s advisable to wait until the project matures and a complete shariah compliance screening is done. However, there is a fair chance that this could be deemed halal, as it can be compared to Uniswap, which is considered halal.
Hope this helps for now.
Thanvir Answered question January 17, 2024
