HALAL Screening Cryptocurrency
Is Bonk Halal?
Complete Shariah Compliance Screening of Bonk to determine if it is a Halal or Haram cryptocurrency
Legitimacy Screening
What is Bonk
BONK is a cryptocurrency that started as a fun and community-driven project, primarily on the Solana blockchain. It was created to bring some excitement and engagement to the crypto space, especially after the hype of other coins. Essentially, BONK is a meme coin, which means it’s often used for lighthearted purposes, like tipping or rewarding people in online communities. It gained popularity quickly because it was given away for free to users, making it accessible for everyone to join in on the fun.
What makes BONK unique is its focus on community involvement and its playful nature. Unlike many cryptocurrencies that aim for serious investment or utility, BONK thrives on its meme culture and the joy it brings to its users. The project encourages people to participate in various activities, like games and giveaways, fostering a sense of belonging among its supporters. So, while it might not be the next big investment, it’s all about having a good time and connecting with others in the crypto world!
Transparent and Credible Team
The Bonk project is governed by a Decentralized Autonomous Organization (DAO). The sources mention the project's development and launch details are available through the official Bonk website and reputable crypto news outlets. However, the sources do not explicitly identify the founders or core team members, suggesting a degree of anonymity. This lack of transparency is a concern.
Score: 50
Clear Use Case or Purpose
Bonk aims to integrate across multiple blockchain networks, including DeFi, gaming, NFTs, social platforms, and wallets. The token has a utility within its ecosystem, including BonkSwap, BonkVault, and BonkDex. However, it is also characterized as a meme coin, which Islamic scholars view as lacking genuine utility or benefit. As such this is viewed as a negative.
Score: 50
Absence of Fraudulent Behavior
Bonk has undergone a smart contract audit by Cyberscope. The project is listed on major exchanges like Coinbase and Gemini after passing legal reviews. However, it is noted that there are fraudulent activities and scams circulating that mimic legitimate initiatives. The regulatory filings also confirm that Bonk is treated as a commodity, indicating compliance.
Score: 75
Ethical Practices
Bonk has a community-driven approach through the Bonk DAO. It has demonstrated regulatory compliance by being listed on major U.S. exchanges. However, the sources do not provide specific details about ethical guidelines or if they are implemented for this project. The warning of scams is also concerning.
Score: 60
Sign in to view the rest of Bonk's Shariah Compliance Report
Bonk Halal Project Screening
- Are the project’s purpose and operation Shariah Compliant.
- Does the project operate ethically and transparently, without harm to society.
- Does the project promote positive societal or environmental outcomes.
Bonk Financial Screening
- Does the revenue involve Riba (interest), Gharar (excessive uncertainty), or Haram activities.
- What red flags are hidden within the projects finances and are within permissible limits.
- Types of revenue generation activities and the percentage that may be Riba or interest based.
- Audits from reliable sources
Bonk Token Screening
- Is the Token governance fair and ethical?
- Are profit-sharing mechanisms (e.g., staking rewards, dividends) compliant with Islamic Finance?
- Does the token’s design, or unlock schedule raise unethical concerns?
- Halal underlying asset, and free from impermissible elements
Is Staking Bonk Halal?
- Are the staking operation aligned with Shariah-compliant structures.
- Does the staking avoid Gharar (excessive uncertainty) and Maysir (gambling)?
Bonk Shariah Compliance Score
- Total Shariah Compliance Score out of 100
- 27 different components researched
- More comprehensive than any other platform