HALAL Screening Cryptocurrency
Is Pepe Halal?
Complete Shariah Compliance Screening of Pepe to determine if it is a Halal or Haram cryptocurrency
Legitimacy Screening
What is Pepe
PEPE is a cryptocurrency that’s inspired by the popular internet meme featuring a cartoon frog named Pepe. It’s part of a trend where digital currencies are created around fun and relatable themes, making it appealing to a younger audience and meme enthusiasts. Essentially, PEPE allows people to buy, sell, and trade it just like other cryptocurrencies, but it also taps into the playful side of internet culture, which makes it more engaging for fans.
What makes PEPE unique is its strong community and the way it combines humor with finance. Unlike traditional cryptocurrencies that focus solely on technology or investment, PEPE thrives on its meme culture, creating a sense of belonging among its users. This community-driven approach not only makes it fun but also helps it gain popularity quickly, as people love to share and promote something that resonates with their interests and sense of humor.
Transparent and Credible Team
The founder, Zachary Testa, is identified, but there is a lack of information about other team members. There are also controversies surrounding the founder. This lack of transparency impacts the credibility of the team. Score: 40
Clear Use Case or Purpose
Pepe is primarily a meme coin with limited intrinsic value. While it is used for community engagement, NFT integration and as a payment method, it does not have a clear and legitimate purpose that aligns with Shariah principles. This is further emphasised in the Islamic scholars opinion that meme coins are largely used for speculation. Score: 20
Absence of Fraudulent Behavior
While there are audits of the smart contract, there have been significant issues such as the theft of 16 trillion tokens. There are also red flags regarding a lack of transparency and unproven development. Furthermore, there are concerns about airdrop scams and fake websites. This raises concerns about fraudulent activity. Score: 30
Ethical Practices
There are concerns about misleading marketing strategies, the theft of tokens, and a lack of transparency. According to the Islamic scholars opinion, meme coins encourage a culture that has little benefit. Score: 20
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Pepe 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.
Pepe 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
Pepe 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 Pepe Halal?
- Are the staking operation aligned with Shariah-compliant structures.
- Does the staking avoid Gharar (excessive uncertainty) and Maysir (gambling)?
Pepe Shariah Compliance Score
- Total Shariah Compliance Score out of 100
- 27 different components researched
- More comprehensive than any other platform