CANTO (CANTO)

CANTO Use Cases

• Gas Fees: CANTO is used to pay for gas fees on the Canto blockchain, similar to how other native cryptocurrencies are used on their respective blockchains.
• Staking and Governance: CANTO can be staked with validators to secure the network, participate in governance, and earn additional tokens. This process helps maintain the integrity and security of the blockchain.
• Validator Rewards: Staking CANTO allows users to earn rewards, which are distributed based on the amount of CANTO staked and the inflation rate of the token.
• Network Security: By staking CANTO, users contribute to the security of the network, ensuring that transactions are validated and the blockchain remains stable.

CANTO Distribution

• Initial Supply: The initial total supply of CANTO is 1 billion tokens, with 150 million tokens in the initial circulating supply.
• Distribution Breakdown:
  • 130 million CANTO (13% of the total supply) were distributed to initial contributors.
  • 20 million CANTO (2% of the total supply) were distributed to participants in the testnet launch.
  • The remaining supply is distributed over time through DAO proposals, primarily for long-term liquidity mining and ecosystem development.

CANTO Inflation

• Inflation Rate: CANTO is an inflationary token, with its inflation rate decreasing over time. The tokens generated through inflation are distributed to stakers, providing them with additional rewards.
• Staking Period: There is a 21-day unbonding period for staking CANTO, meaning users must wait 21 days to access their tokens after unstaking.

CANTO Ecosystem

• Canto Lending Market (CLM): CLM is a lending protocol that accepts LP tokens as collateral, governed by Canto stakers who are incentivized to create a beneficial environment for users and developers.
• Free Public Infrastructure (FPI): Canto aims to provide free public infrastructure, eliminating rent extraction and promoting decentralization and accessibility in DeFi.

Pros of CANTO

• Free Public Infrastructure: CANTO offers free public infrastructure, including a decentralized exchange (DEX), a lending market, and an over-collateralized unit of account token named NOTE. This makes DeFi primitives accessible and free to use.
• No Fees: CANTO has no fees, which attracts users by eliminating the fear of becoming "exit liquidity" and providing zero fees for liquidity providers, whether they are protocol users, arbitrageurs, or traders.
• Decentralization: CANTO is fully decentralized, with a governance model that prevents changes to the DEX, ensuring that users cannot add extra fees or introduce changes to the protocol.
• EVM Compatibility: CANTO is compatible with the Ethereum Virtual Machine (EVM), allowing developers to easily migrate smart contracts and decentralized applications to CANTO.
• Staking and Rewards: CANTO allows staking, which secures the network and provides rewards generated by the token's inflation rate. The inflation rate is constantly decreasing, and tokens generated through inflation are distributed to stakers.

Cons of CANTO

• Limited Upgrades: CANTO's full decentralization means that the DEX cannot be upgraded, which could limit future improvements and flexibility.
• Inflationary Token: CANTO is an inflationary token, which could lead to a decrease in its value over time. The inflation rate is decreasing, but it still means that new tokens are being created and distributed.
• Unbonding Period: Staking on CANTO has a 21-day unbonding period, which means that users must wait 21 days to access their tokens after unstaking.
• Rent Extraction: While CANTO aims to resist rent extraction, it is still a challenge that the project faces, as rent-seeking (e.g., MEV) is an inescapable aspect of blockchains.

Founders of CANTO

CANTO was founded by a team of DeFi advocates led by Scott Lewis, the co-founder of DeFi Pulse, and the founders of Slingshot Crypto and Plex. This team has a strong background in decentralized finance and aims to make DeFi free to use through the CANTO platform.

Key Team Members

• Scott Lewis: Co-founder of DeFi Pulse and a key contributor to CANTO.
• Founders of Slingshot Crypto and Plex: Also part of the founding team, bringing their expertise in DeFi and blockchain technology.

Note

The leadership team mentioned in other sources (e.g., ) refers to a different company named Canto, which is involved in digital asset management and is unrelated to the CANTO cryptocurrency project.

Investors in CANTO

• Founding Team: CANTO was founded by a team of DeFi advocates, including DeFi Pulse co-founder Scott Lewis and the founders of Slingshot Crypto and Plex.
• Funding Rounds: The project conducted a token generation event (TGE) on August 23, 2022, but specific details about investors and funding amounts are not publicly disclosed.
• Investment Information: There is no detailed information available on specific investors or the total funds raised by CANTO.

Halal Status of CANTO

No, the halal status of CANTO is not universally agreed upon. The reason is that Islamic scholars have differing opinions on whether cryptocurrencies, including CANTO, comply with Islamic principles. Some scholars argue that cryptocurrencies are haram due to elements such as Gharar (uncertainty), potential for Riba (usury), and lack of physical backing. Others believe that cryptocurrencies can be halal if they are used for legitimate transactions and comply with Islamic finance principles.

Key Considerations

• Gharar: The volatile nature of cryptocurrencies raises concerns about uncertainty, which is forbidden in Islam.
• Riba: Some cryptocurrencies may involve interest or usury, which is prohibited in Islamic finance.
• Physical Backing: Cryptocurrencies are not backed by physical assets, which is a point of contention among Islamic scholars.
• Legitimate Use: If used for legitimate transactions and not for speculative purposes, some scholars argue that cryptocurrencies can be halal.

Conclusion

The halal status of CANTO and other cryptocurrencies depends on individual interpretations of Islamic law and the specific characteristics of each cryptocurrency.