FLT Fluence

Overview of Fluence Use Cases

Fluence is a decentralized serverless computing platform that enables a variety of applications and services to be built and deployed on a network of compute providers. Here are some key use cases:

Decentralized Applications

• P2P Apps: Fluence allows for the creation of resilient and censorship-resistant applications that run on users' devices without relying on intermediary servers. Examples include messengers, social networks, audio and video calls, and streaming services.
• Decentralized Protocols: Fluence facilitates the building and combination of network protocols of any complexity, topology, and scale using a common Aqua language. This includes messaging protocols, consensus engines, decentralized governance, file sharing, multi-party computation, and blockchain oracles.

Community-Driven Applications

• Community-run Applications: Applications can be hosted and managed without a central admin. Community members can run Fluence nodes with application backends and coordinate via incentive models such as governance tokens or DAOs.
• DAO-managed Applications: Fluence supports the creation of DAO-managed applications, social media platforms, and creator economies.

Data and Computing

• Computations on Decentralized Data: Fluence enables dynamic updates and computation for data stored in decentralized content-addressable storage like IPFS.
• Cloud-native Computing: Fluence allows cloud-native applications to manage microservice backends without a central coordination server, enabling distributed microservice orchestration, distributed SaaS, and serverless computing.

Blockchain Infrastructure

• Blockchain Integration: Fluence can be used to optimize gas costs by moving signed transactions and order books off-chain while keeping on-chain trade settlement. This includes cryptocurrency exchanges, wallets, DAO tools, and cross-chain tools.

API and Composition

• Unstoppable API and Composition: Fluence enables content-addressable code, allowing services and functions to be permanently accessed over the network while hosted by at least a single node. This facilitates the composition of APIs, making it easier and faster to build and deploy applications.

Pros of Fluence

• Decentralized Serverless Architecture: Fluence provides a decentralized computing platform that does not rely on centralized servers, offering an open and low-cost alternative to traditional cloud computing.
• CPU Capacity Utilization: It combines CPU resources from top-tier data centers worldwide, enabling efficient and secure operation of various Web3 applications.
• Reliability and Resiliency: The platform ensures robust infrastructure reliability through its decentralized network of nodes spread across the globe.
• Auditability and Verifiability: Fluence uses cryptographic proofs to provide verifiability for all computations, ensuring transparency and trustworthiness.
• Cost-Effectiveness: By leveraging competition among computing providers and FLT rewards, Fluence substantially reduces computing prices compared to centralized platforms.
• Partnerships: Fluence works with Filecoin and InterPlanetary Consensus (IPC) to strengthen advanced cloudless computing, providing cost-effective solutions for users seeking decentralized computing technology.

Cons of Fluence

• Market Capitalization: Fluence has a relatively small market capitalization, which may limit its liquidity and market influence.
• Adoption: As a decentralized computing platform, Fluence may face challenges in gaining widespread adoption compared to established centralized cloud providers.
• Technical Complexity: The use of advanced cryptographic proof verification capabilities, such as zero-knowledge proof verification (ZKP), may introduce technical complexity for some users.
• Dependency on Partnerships: Fluence's reliance on partnerships with Filecoin and IPC may pose risks if these partnerships are not maintained or if the partner networks experience issues.
• Limited Market Presence: Fluence is considered a 'hidden gem' project, which means it may not have the same level of market visibility as larger projects.

Founders of Fluence

Fluence is not a cryptocurrency but a company specializing in energy storage technology. It was founded by two industry powerhouses, Siemens and AES, who launched Fluence as a joint venture in January 2018. The company focuses on innovating modern electric infrastructure and providing energy storage products and services to support renewable energy projects.

• Key Founding Companies: Siemens and AES are the founding companies behind Fluence.
• Background: Both Siemens and AES are well-established in the energy sector, bringing extensive experience and financial backing to Fluence.
• Mission: Fluence aims to create a more sustainable future by transforming the way we power our world through energy storage and digitalization.

Investors in Fluence

• Series A Funding: Fluence received $9.0 million in Series A funding.
• Investor Information: Specific investor names are not publicly disclosed in the available sources. However, it is mentioned that investors participated in the funding rounds with vesting periods.
• Vesting Schedule: Investors have a 12-month cliff and a 12-month vesting period for their tokens.

Is Fluence Halal?

No, the halal status of Fluence is not universally agreed upon. The debate among Islamic scholars is ongoing, with some arguing that cryptocurrencies like Fluence are permissible as long as they do not breach Islamic prohibitions on interest, contractual uncertainty, and gambling. Others argue that the lack of central authority, speculative nature, and potential for illegal activities make them non-halal.

Key Points to Consider:

• Lack of Central Authority: Some scholars argue that cryptocurrencies are not backed by governments or regulated financial institutions, which raises concerns about their legitimacy.
• Speculative Nature: The volatile price fluctuations of cryptocurrencies are seen as risky and potentially akin to gambling by some scholars.
• Potential for Illegal Activities: The use of cryptocurrencies for illegal activities, such as money laundering, is a concern for those who deem them non-halal.
• Permissibility: Scholars who consider cryptocurrencies halal argue that their use for lawful purposes does not make them inherently haram, and that they can be seen as mediums of exchange in their context.
• Regulatory Certainty: The need for greater regulatory certainty and Sharia-compliant guidelines is emphasized by some scholars to help determine the halal status of cryptocurrencies.