Is this crypto halal? Shariah screening report
None
AUSD
- Price
- $0.999951
- Market cap
- $231.69M
- Circulating supply
- 231,704,896.386
- 24h change
- 0.00%
Report generated 8/27/2026, 6:34:27 PM · stored corpus assessment · confidence 88%
Crypto Halal Report Criteria
We use a disciplined framework to determine if a digital asset is Comfortable from a sharia perspective, based on three core pillars.
Purpose & Real-World Value Flagged
Stablecoin Ethereum Ecosystem USD Stablecoin Sui Ecosystem Mantle Ecosystem Purpose and Intended Use AUSD is a decentralized stablecoin native to the Acala Network, designed to maintain a 1:1 peg with the US Dollar. It was created to serve as a stable medium of exchange within the Polkadot ecosystem.
Honesty & Founder Intent Clear
See token distribution section.
Dealing with Risk & Speculation Clear
Speculative trading of a real asset is treated as trade, not gambling, under the screening framework.
Crypto Overview
Purpose and Utility
Stablecoin Ethereum Ecosystem USD Stablecoin Sui Ecosystem Mantle Ecosystem Purpose and Intended Use AUSD is a decentralized stablecoin native to the Acala Network, designed to maintain a 1:1 peg with the US Dollar. It was created to serve as a stable medium of exchange within the Polkadot ecosystem.
Current Usage
The token experienced significant issues in 2022 when it lost its dollar peg following an exploit of the protocol. While still technically active, adoption has been severely limited since this incident. Platform Activity Development activity on the Acala Network continues, though at a reduced pace since the 2022 incident. The team has implemented various measures to improve security and stability. Mechanism Assessment The core mechanism involves lending and borrowing with interest-bearing components, which raises concerns from an Islamic finance perspective. The collateralized loan system inherently involves riba-based transactions, as users effectively pay interest on their borrowed AUSD.
Business Model
AUSD is minted through overcollateralized loans using various cryptocurrencies as collateral. Users can mint AUSD by locking up collateral assets like DOT, LDOT, and ACA. The protocol automatically liquidates positions if collateral ratios fall below required thresholds.
Rating Justification
UncomfortableWhile AUSD aims to provide a legitimate utility as a stablecoin, its fundamental mechanism relies on interest-bearing loans and collateralized debt positions. These core features are problematic from an Islamic finance perspective as they involve riba (interest). The lending and borrowing mechanisms central to AUSD's operation cannot be classified as charitable lending, as they are designed to generate returns through interest-like mechanisms. This makes the token's primary utility incompatible with Shariah principles.
Comparable assessments
None CRVUSD
UncomfortableUncomfortable — From a Shariah compliance perspective, crvUSD presents some concerns. While the stablecoin itself is a legitimate medium of exchange, the primary mechanism for
Open reportEthena Staked USDe sUSDe
UncomfortableUncomfortable — Sharia Compliance Analysis The core mechanism of sUSDe raises several concerns from an Islamic finance perspective. The primary issues are: 1) The yield generat
Open reportFirst Digital USD FDUSD
ComfortableComfortable — FDUSD operates as a legitimate stablecoin with clear utility in facilitating cryptocurrency transactions and serving as a stable store of value. The business mo
Open reportGlobal Dollar USDG
UnclearUnclear — Due to the lack of verifiable information about this cryptocurrency, I cannot make a determination about its Sharia compliance status. A proper assessment would
Open reportLiquity USD LUSD
UncomfortableUncomfortable — The evaluation of Liquity USD (LUSD) from an Islamic finance perspective raises concerns due to its fundamental design as a lending protocol. While the one-time
Open report
Disclaimer: These reports are findings of AI analysis and cannot be guaranteed to be accurate. Ratings reflect opinions derived from automated criteria applied to the sources you submitted and a corpus of prior assessments. This is not a fatwa and does not determine Islamic law. Ratings may change as projects evolve. Always conduct your own research before investing.
- corpus