LOOKS

Data Delay

Price data is delayed

LooksRare

Overview of LooksRare

LooksRare is a decentralized NFT marketplace built on the Ethereum blockchain. It allows users to buy, sell, and trade non-fungible tokens (NFTs) while rewarding them for their participation in the ecosystem.

Key Features and Use Cases

• Trading NFTs: Users can mint, buy, and sell Ethereum-based NFTs on the platform.
• Rewards System: The platform rewards creators and NFT traders with its native token, LOOKS. This token can be earned by trading NFTs and staking.
• Staking: Users can stake LOOKS to earn passive income.
• Community Governance: LooksRare prioritizes community governance, enabling users to have a say in the platform's future developments and features.
• Low Fees: The platform offers lower fees compared to traditional NFT marketplaces, with a current trading fee of 0.5%.

Tokenomics

• LOOKS Token: The native token of LooksRare, used for staking, earning rewards, and carrying out major transactions on the platform.
• Distribution: 100% of trading fees are distributed to NFT creators and LOOKS stakers, providing an incentive for active participation.

Pros of LooksRare

• Low Fees: LooksRare offers a platform fee of 0.5%, which is significantly lower than OpenSea's 2.5% fee, making it more affordable for users.
• Platform Rewards: Users can earn LOOKS tokens through staking, trading, and listing NFTs, providing additional incentives for engagement.
• Collection-Wide Bidding: The platform allows for collection-wide bidding, which is beneficial for large investors who wish to bid on entire collections.
• Additional Reward Features: LooksRare offers features like YOLO, Community Raffles, and Gems, providing extra rewards to users.
• Ease of Use: The platform is easier to use compared to other popular NFT marketplaces, making it more accessible for casual users.

Cons of LooksRare

• Limited Blockchain Support: LooksRare only operates on the Ethereum blockchain, which may result in higher gas fees compared to platforms supporting multiple blockchains.
• Anonymity of Founder: The identity of LooksRare’s founder is not disclosed, which could be a shortcoming in transparency and accountability.
• No NFT Minting: LooksRare does not provide NFT minting features directly, requiring a third party such as Manifold, which can be a barrier for NFT artists and creators.
• Volatility of LOOKS Token: The price of the LOOKS token can be volatile, bringing price risk to stakers.
• Limited Search and Sort Features: The platform lacks certain search and sort features, making it less suitable for casual browsers with a limited budget.

Founders of LooksRare

The founders of LooksRare are two anonymous individuals who go by the pseudonyms Zodd and Guts. They launched the platform in January 2022 with the aim of competing with other major NFT marketplaces like OpenSea.

Investors in LooksRare

• Primary Investor: Placeholder Capital is the primary investor in LooksRare.
• Funding Rounds: LooksRare has completed several funding rounds, including a strategic round that raised $5.94 million.
• Token Distribution: The token distribution includes allocations for strategic investors, team members, airdrops, liquidity, rewards, staking, and treasury, each with specific vesting periods.

Halal Status of Cryptocurrencies

To determine if a cryptocurrency is halal, it's essential to understand the principles behind Islamic finance and how they apply to digital assets. Here's a brief overview:

• Principles of Islamic Finance: Islamic finance prohibits investments in activities that are considered haram (forbidden), such as gambling, alcohol, and usury (interest-based lending).
• Cryptocurrency Evaluation: Each cryptocurrency is evaluated based on its utility, purpose, and the activities it supports. For example, if a cryptocurrency is primarily used for gambling, it would be considered haram.

LooksRare

• Halal Status: No specific information is available on the halal status of LooksRare. However, based on general principles, if LooksRare is used for activities that align with Islamic finance principles, it could be considered halal. Without specific details on its use and purpose, a definitive answer cannot be provided.

General Considerations

• Token Utility: The primary use of a token can influence its halal status. For example, tokens used for decentralized applications (dApps) that support halal activities are generally considered acceptable.
• Blockchain and Smart Contracts: The use of blockchain and smart contracts does not inherently make a cryptocurrency haram. It's the application and purpose that matter.

Example of Halal Cryptocurrencies

• Wrapped Bitcoin (WBTC): Considered halal because it enables Bitcoin holders to interact with smart contracts and decentralized applications, which is seen as a permissible activity.
• Ethereum (ETH): Also considered halal because it supports a wide range of decentralized applications that align with Islamic finance principles.

Conclusion

The halal status of LooksRare cannot be definitively determined without specific information on its use and purpose. It's crucial to evaluate each cryptocurrency based on its utility and alignment with Islamic finance principles.