RON Ronin

Use Cases of Ronin

Ronin is primarily used for various applications within the gaming and decentralized finance (DeFi) sectors. Here are some of the key use cases:

• Gaming Innovation: Ronin is designed to support play-to-earn games like Axie Infinity, enabling fast and cost-effective transactions for in-game assets and NFTs. It provides a seamless gaming experience by reducing transaction times and fees.
• NFT Marketplaces: Ronin supports the creation and trading of NFTs, allowing gamers to buy, sell, and trade unique digital assets such as artwork, collectibles, and virtual lands.
• DeFi Applications: Ronin supports a wide range of DeFi applications, including decentralized exchanges, lending platforms, and yield farming protocols, enabling users to access financial services without intermediaries.
• In-Game Transactions: Ronin facilitates in-game transactions, trading of digital assets, and earning rewards, making it an ideal platform for games that require frequent transaction confirmations.
• User Experience: Ronin offers an easy onboarding process for new users, with a fiat on-ramp and a native wallet, making it accessible to new players and cryptocurrency newbies alike.

Pros of Ronin

• Scalability: Ronin is designed to handle high volumes of transactions, making it suitable for gaming applications. It has processed over $4 billion in NFT volumes and accommodated millions of daily active users.
• Low Transaction Fees: Ronin optimizes for near-instant transactions and negligible fees, enabling seamless in-game transactions.
• Gaming Focus: Ronin is specifically forged for gaming, addressing key issues like Ethereum's high gas fees and slow transaction speeds.
• Decentralization: Ronin has integrated Delegated Proof of Stake (DPoS) features, allowing for greater decentralization and participation in securing the network.
• Ecosystem Support: Ronin is backed by Sky Mavis, offering advisory support and grants to help reduce risk and improve odds of success for games looking to launch.

Cons of Ronin

• Centralization Concerns: As of May 23, 2024, one wallet held 12.48% of RON's supply, indicating potential centralization issues.
• Security Risks: Ronin experienced a significant breach in March 2022, where 173,600 ETH and 25.5M USDC were drained from the Ronin Bridge, highlighting security vulnerabilities.
• Limited Governance: Currently, only Governing and Standard Validators vote on proposals on behalf of RON delegators, limiting direct participation in governance.
• Token Distribution: The initial token supply is divided into four main allocations, with 30% to the community, 30% to the team, 25% to staking rewards, and 15% to the ecosystem fund, which may raise concerns about token distribution fairness.
• Dependence on Sky Mavis: Ronin's success is closely tied to the success of Sky Mavis and Axie Infinity, which could be a risk if these entities face challenges.

Founders of Ronin

The founders of Ronin include Nguyen Thanh Trung, Tu Doan, Aleksander Larsen, Jeffrey Zirlin, and Andy Ho, who are also the co-founders of Sky Mavis, the company behind the blockchain game Axie Infinity and the Ronin Network.

Investors in Ronin

• a16z: With a significant investment increase of 744% and 168 investments, a16z is a major investor in Ronin.
• Binance Labs: Binance Labs has seen a 345% increase with 96 investments, making it another key investor.
• Paradigm: Paradigm has a 227% increase with 112 investments, contributing to Ronin's funding.
• Fabric Ventures: Fabric Ventures has a 188% increase with 26 investments, also supporting Ronin's development.

Halal Status of Ronin

• Halal Status: Yes
• Reason: Ronin is considered halal because it primarily serves as a utility token within the gaming ecosystem, particularly for Axie Infinity. It does not involve interest-bearing loans or explicitly prohibited activities. The token's usage aligns with its intended purposes, such as powering transaction fees, staking for validators, and governance participation, which are in line with Islamic finance principles.