Is this crypto halal? Shariah screening report

Tezos

XTZ

Comfortable
Price
$0.219164
Market cap
$239.93M
Circulating supply
1,094,751,465.019
24h change
-1.13%

Report generated 8/27/2026, 6:34:28 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 Clear

Tezos (XTZ) is a blockchain platform designed for smart contracts and decentralized applications (dApps) with a unique self-amending governance mechanism. The platform allows token holders to participate in protocol upgrades through on-chain governance, making it one of the first self-evolving blockchains.

Honesty & Founder Intent Clear

The initial token distribution included a public ICO in 2017, with tokens distributed among the Tezos Foundation, early backers, and public participants. The Foundation maintains transparency in its holdings and regularly publishes reports on its activities and grants. Sharia Considerations The core functionalities of Tezos - including smart contracts, governance, and proof-of-stake validation -

Dealing with Risk & Speculation Clear

Speculative trading of a real asset is treated as trade, not gambling, under the screening framework.

Crypto Overview

PoSPlatformEnterprise SolutionsCollectibles & NFTsDeFi

Purpose and Utility

Tezos (XTZ) is a blockchain platform designed for smart contracts and decentralized applications (dApps) with a unique self-amending governance mechanism. The platform allows token holders to participate in protocol upgrades through on-chain governance, making it one of the first self-evolving blockchains.

Current Usage

Tezos has secured notable partnerships with major institutions, including Société Générale, Manchester United, and various central banks exploring CBDCs. The platform hosts numerous NFT marketplaces and DeFi applications. Current statistics show consistent transaction volumes and active development.

Business Model

The platform's core functionality revolves around its proof-of-stake consensus mechanism, smart contract capabilities, and governance features. XTZ tokens serve multiple purposes: network governance, transaction fees, and staking (called 'baking' in Tezos). The platform focuses on institutional- grade smart contracts and has gained particular traction in the tokenization of real-world assets, including real estate and artwork.

Development Activity

The Tezos ecosystem demonstrates strong development activity with regular protocol upgrades through its on-chain governance mechanism. The platform maintains an active developer community and continues to implement technical improvements focused on scalability and security.

Token Distribution

The initial token distribution included a public ICO in 2017, with tokens distributed among the Tezos Foundation, early backers, and public participants. The Foundation maintains transparency in its holdings and regularly publishes reports on its activities and grants. Sharia Considerations The core functionalities of Tezos - including smart contracts, governance, and proof-of-stake validation - involve actual asset ownership and value exchange. While some DeFi applications built on Tezos may involve interest- bearing products, the base protocol itself doesn't inherently involve riba or gambling mechanisms.

Rating Justification

Comfortable

Based on our analysis, Tezos demonstrates legitimate utility through its self- amending governance, smart contract capabilities, and proof-of-stake consensus mechanism. The platform facilitates real asset ownership and value exchange, with actual technological utility being created and transferred. While some applications built on Tezos may need individual evaluation for Sharia compliance, the base protocol and its native token XTZ appear to align with Islamic principles.

While we find this token comfortable to invest in from a Shariah-screening perspective, this does not imply we think it is a strong investment.

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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.

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