HALAL Screening Cryptocurrency
Is eCash Halal?
Complete Shariah Compliance Screening of eCash to determine if it is a Halal or Haram cryptocurrency
Legitimacy Screening
What is eCash
XEC, or eCash, is a type of cryptocurrency that aims to make digital transactions faster and more efficient. Think of it like digital cash that you can send to anyone, anywhere in the world, without needing a bank. It’s designed to be easy to use, allowing people to make everyday purchases or transfer money quickly, just like handing over cash but online!
What makes eCash unique is its focus on privacy and scalability. It uses a special technology that helps keep your transactions secure and private, so you don’t have to worry about your financial information being exposed. Plus, it can handle a lot of transactions at once, which means it can grow and adapt as more people start using it. So, it’s like having a super-fast, super-secure wallet in your pocket!
Transparent and Credible Team
Our research identifies Amaury Séchet as the lead developer, noting his involvement with Bitcoin Cash. The team has a history within the crypto space. Score: 75
Clear Use Case or Purpose
eCash aims to be a digital cash system, with fast transactions using the Avalanche protocol. It also mentions the intention to improve the scalability of Bitcoin Cash. The report also indicates a push for real-world use through collaborations with payment platforms. Score: 80
Absence of Fraudulent Behavior
The report mentions the existence of blockchain explorers for verification and the team emphasize that it is a trustless system and does not need KYC or AML. However, it also notes concerns about the inability to audit the total volume of eCash, with internal monitoring relying on the federation guardians, which presents a risk. There are also recent reports of scams and phishing attacks that are targeting users of eCash. Score: 60
Ethical Practices
eCash emphasizes a trustless and permissionless system, which is aimed at giving the user autonomy. However, the report also highlights criticisms that some of the claims and promises made are unsubstantiated or exaggerated, such as the transaction speed, smart contract capabilities and regulatory compliance. There are also criticisms of misleading marketing with the rebranding. There are also concerns about the lack of transparency and community concerns that make it unethical. Score: 65
Sign in to view the rest of eCash's Shariah Compliance Report
eCash 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.
eCash 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
eCash 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 eCash Halal?
- Are the staking operation aligned with Shariah-compliant structures.
- Does the staking avoid Gharar (excessive uncertainty) and Maysir (gambling)?
eCash Shariah Compliance Score
- Total Shariah Compliance Score out of 100
- 27 different components researched
- More comprehensive than any other platform