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HOME (HOME)

AI Assisted Shariah Verdict
Last Update: 8/2/2026
Haram

SUMMARY

Defi App (HOME) is non-compliant because its core business includes interest-bearing yield aggregation and perpetual futures trading. Furthermore, over 33% of the protocol's revenue is derived from these non-compliant sources, which directly accrues to the token's value via an 80% buyback and burn mechanism.

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Verdict by Activity

How you can hold and use HOME

Buy & Hold

Haram

The token's value is directly driven by a buyback and burn mechanism funded by non-compliant revenue (perpetuals and lending), and the protocol's core business involves interest-based products.

HOME Staking

Optional
Halal

Users can opt-in to stake HOME for XP multipliers and Bonus HOME, which is funded by ecosystem token allocations rather than interest.

Yield Aggregation (Earn)

Optional
Haram

The platform aggregates yield by routing user deposits to interest-bearing lending protocols such as Aave.

Rocket Perps

Optional
Haram

The protocol offers a perpetuals trading engine with up to 1000x leverage that involves funding rates exchanged between longs and shorts.

Shariah Component Breakdown

Shariah Analysis

Infrastructure — where it runs

Passed

The asset runs on Ethereum and other general-purpose networks which are neutral infrastructure.

Application — what it does

Failed

The protocol's core business includes yield aggregation routing to interest-bearing lending protocols (Aave) and a perpetuals trading engine involving funding rates.

Asset — what you own

Passed

The token's primary utility is for abstracted gas fees and protocol governance, with an opt-in staking mechanism funded by ecosystem emissions.

Property Status (Māl)

Passed

The token is a native protocol position with established adoption, ascertainable supply, and genuine lawful use for governance and gas abstraction.

Revenue Purity

Failed

Over 33% of the protocol's revenue is estimated to come from non-compliant sources (perpetuals and lending aggregation), and 80% of this revenue directly funds the token's value through a buyback and burn mechanism. The project's treasury composition and banking details are not publicly disclosed.

Legitimacy & Security

social presence

Passed

The project has achieved significant traction with over 400,000 active users and $44 billion in cumulative trading volume.

whitepaper

Passed

The project has a confirmed official website, documentation, and detailed tokenomics.

project audits

Passed

Audit and security information was found and confirmed by the research.

Team & Ecosystem

team background

Caution

Not covered by research.

Detailed Shariah Report

Overview

Defi App is a decentralized application that offers cross-chain token swaps, yield farming aggregation, and perpetual futures trading from a single interface. Its native token, HOME, is a protocol position used to pay for abstracted gas fees, participate in governance, and stake for rewards.

Why This Verdict

The Shariah compliance of a crypto asset is evaluated across three layers: the underlying infrastructure, the application it serves, and the asset itself. A failure at any layer renders the asset non-compliant. HOME operates on neutral general-purpose networks like Ethereum and Arbitrum, which passes the infrastructure layer. At the asset layer, HOME qualifies as recognized digital property (Mal) because it is a native protocol position with an ascertainable supply, self-custody transferability, and genuine lawful utility for governance and gas abstraction, rather than a mere claim on an issuer. However, it fails at the application layer. Purchasing and holding the HOME token is Haram. Over 33% of the protocol's revenue is derived from non-compliant sources, and 80% of all platform revenue is used to buy back and burn HOME tokens. Because this mechanism directly accrues value to the token using illicit funds, holding the asset is impermissible. Regarding optional mechanisms: Users can opt into an 'Earn' product that routes deposits to interest-bearing lending protocols like Aave, which is strictly prohibited due to riba (interest). The protocol also offers 'Rocket Perps,' a perpetuals trading engine with up to 1000x leverage that involves funding rates exchanged between longs and shorts, which is also Haram. Conversely, the opt-in HOME Staking feature is Halal, as users stake for XP multipliers and 'Bonus HOME' funded by ecosystem token emissions rather than interest.

Permissible Aspects

  • The underlying infrastructure (Ethereum, Arbitrum, Solana, etc.) is neutral and permissible.
  • The token qualifies as recognized digital property with genuine utility for governance and abstracted gas fees.
  • The opt-in HOME staking program is funded by ecosystem token allocations rather than interest-bearing activities.
  • Revenue generated purely from standard cross-chain token swaps is permissible.

Points of Caution

  • !The protocol's core business heavily relies on interest-bearing lending aggregation and perpetual futures trading, which are fundamentally non-compliant.
  • !The project's treasury composition and banking details are not publicly disclosed, meaning there is an unknown risk of treasury funds earning interest.
  • !While the perpetuals trading engine (Rocket Perps) is not classified as a game of chance (maisir), it utilizes extreme leverage (up to 1000x) and funding rates, which are impermissible.

Purification Note

Not applicable. Because holding the token is fundamentally non-compliant due to the buyback and burn mechanism directly injecting impure revenue into the token's value, purification cannot render the investment permissible.

BOTTOM LINE

The HOME token is non-compliant because its value is directly tied to a buyback and burn mechanism funded heavily by interest-bearing lending and perpetual futures trading. While the token itself has valid utility and operates on neutral networks, the protocol's reliance on prohibited financial activities makes holding it impermissible. As always, final religious authority rests with a qualified Shariah scholar.

How this verdict was reached

This is not an opinion issued by ShariaQuant. It is the output of a documented screening methodology applied to researched facts about HOME (HOME), and every row above states the specific evidence that drove it — so the reasoning can be examined rather than taken on trust.

The framework screens three layers — the infrastructure an asset runs on, the application it serves, and the asset itself — and separately tests whether the token qualifies as recognised property (māl): that it presently exists, has an ascertainable supply, can be held and transferred, and carries a genuine lawful use. A failure at any single layer fails the asset.

Revenue-purity thresholds follow the AAOIFI screening standard: non-compliant income below 5% of revenue is tolerated and purified, while 5% or above fails the screen.

AAOIFI has not reviewed, approved or endorsed this report or ShariaQuant, and no scholar named in our methodology has reviewed this individual verdict. This is analysis, not a fatwa — final religious authority rests with a qualified scholar.