Cryptocurrencies have become a buzzword across the world. The potential financial returns from cryptocurrencies have attracted Muslim investors, whilst the opportunity to raise funds by issuing tokens has attracted Muslim entrepreneurs and developers. The key question which is continuously being asked is the Shariah compliance of cryptocurrencies and token sales. This research analyses the nature … More Research Paper: The Shariah Factor in Cryptocurrencies and Tokens
At the National Zakat Foundation, in collaboration with scholars, financial analysts, accountants and others, we spent almost 5 months analysing the FTSE 100 to determine proxy for net Zakatable assets in companies, Summary recommendations National Zakat Foundation’s (NZF) recommendation to Muslim shareholders is as follows: Ideally, a complete calculation and review of the balance sheet … More Zakat on share investments: determining a proxy for calculation
This short treatise analyses the concept of ownership in Shariah and considers the concept of a trust under Shariah. Ownership is described as a relationship between a legal person (human or non-human), the corporeal entity of the property and its benefits. The paper expounds on the different types of ownership recognised in Islamic law with examples … More A Shariah Analysis of Ownership and the Concept of Trusts
Question: Is there a Zakat levy on one’s Bitcoin holdings? In the Name of Allah, the Most Gracious, the Most Merciful. As-salāmu ‘alaykum wa-rahmatullāhi wa-barakātuh. The Answer: According to our understanding, Bitcoins are Zakatable. One may pay 2.5% of his Bitcoin holdings as Zakat or alternatively, pay 2.5% Zakat in one’s domestic currency equivalent to … More Is there a Zakat levy on one’s Bitcoin holdings?