Tag: Islamic

Indonesian regulator takes cue from Islamic NGOs, bars crypto sales for institutions

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Indonesia’s financial watchdog the Otoritas Jasa Keuangan (OJK) warned financial institutions in the country against offering or facilitating crypto-asset sales. On Tuesday, the official Instagram account for OJK posted a warning against the growing number of crypto Ponzi schemes and risks of crypto investments owing to the market’s volatility. The official post also quoted the chairman Wimboh Santoso who said financial institutions are strictly prohibited from offering crypto sale services in any form. The official post read: “OJK has strictly prohibited financial service institutions from using, marketing, and/or facilitating crypto…

World’s Largest Islamic Country, Indonesia Forbids Crypto Trading

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It doesn’t come as a surprise to many as Islamic societies are known to label cryptocurrency trading as a form of “Haram”. Many Islamic organisations in the past have condemned the trading of digital assets such as cryptocurrency and even non-fungible tokens. Recently, the Tarjih and Tardid Council of Muhammadiyah also issued a similar memorandum stating that “Tarjih’s fatwa stipulates that cryptocurrencies are illegal both as an investment tool and as a medium of exchange,”. A fatwa implies that the currency is tagged as unlawful for the community. The particular…

Indonesian Islamic organization issues new fatwa against crypto use

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The Tarjih Council and the Central Executive Tajdid of Muhammadiyah, one of the largest non-government Islamic organizations in Indonesia, issued a new fatwa against cryptocurrency use, deeming it haram, or unlawful, for Muslims. The fatwa, a ruling on the point of Islamic law, was issued on Tuesday and pointed towards two critical issues with cryptocurrencies that make them illegal as an investment tool and a medium of exchange under Islamic laws: The speculative nature of cryptocurrencies makes them imperfect as an investment tool. The crypto tokens are believed to contain…

Indonesia’s Islamic Authority Declares Cryptocurrency Haram, Forbidden for Muslims – Regulation Bitcoin News

Indonesia’s top Islamic body, the country’s authority on Shariah compliance, has reportedly declared cryptocurrency haram, forbidden for Muslims under Islamic law. The Indonesian Ulema Council explained that crypto has elements of uncertainty, wagering, and harm. Cryptocurrency Is Forbidden for Muslims Under Islamic Law in Indonesia Indonesia’s Ulema Council (Majelis Ulama Indonesia or MUI), the country’s top Islamic body that holds the authority on Shariah compliance, has reportedly declared the use of crypto as a currency haram, forbidden under Islamic law for Muslims. Asrorun Niam Sholeh, head of religious decrees, explained…

Indonesia’s national Islamic council reportedly declares Bitcoin haram

The National Ulema Council (MUI), Indonesia’s top Islamic scholarly body, has reportedly found cryptocurrencies like Bitcoin (BTC) to be haram, or forbidden, by the tenets of Islam.  Asrorun Niam Sholeh, chairman of MUI’s Fatwa Commission, confirmed the religious authority’s rejection of cryptocurrencies due to alleged elements of “uncertainty, wagering and harm.” In order for the MIU to endorse crypto trading, cryptocurrencies like Bitcoin need to abide by Shariah guidelines as a commodity or a digital asset and show a “clear benefit,” Sholeh reportedly said following an expert MIU hearing. The…

Major Indonesian Islamic organization declares crypto ‘haram’ — or forbidden

The East Java branch of one of Indonesia’s largest Islamic organisations Nahdlatul Ulama (NU) has issued a Fatwa deeming the use of cryptocurrency ‘haram’, or forbidden, under Islamic law. A Fatwa is a nonbinding legal opinion on Islamic law, which is reached through a discussion called a bahtsul masail. Representatives from the Nahdlatul Ulama (PCNU) Branch Management and several Islamic boarding schools throughout East Java attended the bahtsul masail. Interest in cryptocurrency has surged in Indonesia over the past year. Earlier this month, a report by Coinformant reported that Indonesia…

Major Indonesian Islamic organization declares crypto ‘haram’ — or forbidden

The East Java branch of one of Indonesia’s largest Islamic organisations Nahdlatul Ulama (NU) has issued a Fatwa deeming the use of cryptocurrency ‘haram’, or forbidden, under Islamic law. A Fatwa is a nonbinding legal opinion on Islamic law, which is reached through a discussion called a bahtsul masail. Representatives from the Nahdlatul Ulama (PCNU) Branch Management and several Islamic boarding schools throughout East Java attended the bahtsul masail. Interest in cryptocurrency has surged in Indonesia over the past year. Earlier this month, a report by Coinformant reported that Indonesia…

Islamic Organization in Indonesia Issues Fatwa Against Cryptocurrency – Bitcoin News

A provincial branch of one the largest Islamic organizations in Indonesia has declared cryptocurrency “haram,” or forbidden under religious law. The decision came after a “heated discussion” joined by a crypto expert who was invited to explain in detail the practice of using digital coins. Cryptocurrency Deemed ‘Haram’ in Indonesia The local branch of the Indonesian religious organization Nahdlatul Ulama in East Java has recently issued a fatwa on the status of cryptocurrencies under Islamic law. According to the nonbinding opinion, digital currencies secured by cryptography and used as a…

Blockchain Firm Algorand Announces Sharia Certification for Islamic Finance

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The Algorand Foundation announced that its blockchain platform is now certified for Sharia-compliant financing. According to a press release on Oct. 21, Islamic institutions can now start using the proof-of-stake Algorand blockchain for economic exchange, stating: “Islamic enterprises will now be able to realise new business opportunities on a platform that is congruent to their finance guidelines.” Although Algorand obtained the certification for Sharia financing, each decentralized application built on Algorand will need to be evaluated and vetted individually for compliance. The Algorand Foundation recognizes the importance of Islamic financial…

Amanie Advisors Support Ether’s Compliance With Islamic Finance Law

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Islamic finance and Sharia advisory firm Amanie Advisors have established Ether’s (ETH) compliance with Islamic religious law. Ether receives Sharia endorsement In a blog post published on their website, Amanie Advisors announced that the firm has collaborated with the Ethereum Foundation to establish the platform’s compliance with Sharia religious law. As a result of the collaboration, the company released a paper with the main purpose of illustrating Ethereum’s compliance with Islamic morals, which concedes a Sharia endorsement of the project and the coin. In the white paper, the advisory firm…