Saturday, 6 January 2018

Fatwa on Bitcoin

A translation of this fatwa from Naseem al-Sham


http://www.businessinsider.com/bitcoins-creator-is-now-one-of-the-richest-50-people-in-the-world-2017-12

Question:

Dear respected scholars, may the peace, mercy and blessings of Allah be upon you, and may Allah reward you and benefit you.

I would like to ask you about the ruling on the electronic currency, or money, known as Bitcoin and dealing and trading in it (by trading, I mean buying it when it is cheap and selling it when it is expensive). I apologise for my limited knowledge…I hope to receive a satisfactory answer, because I know and I fear the consequences of unlawful wealth and I do not want to be consuming anything unlawful. I don’t even want to consume something resembling that which is unlawful. May Allah reward you.

Answer: (Sheikh Muḥammad Tawfīq Ramaḍān)

And may the peace, mercy and blessings of Allah be upon you.

Bitcoin is a new type of money. We believe it is laying the foundation for those who control the circulation of money to have control over financial liquidity in a way that is more effective for them than paper money.

Until now, the peculiarities of this system have not been made clear, and therefore I think it is best to hold back from it and instead strive to find metallic money, with which a person can guarantee the soundness of financial liquidity, for fear that this development is a means for the those who control money to have more effective control over its movement.

Related:
Fatwa of the Grand Mufti of Egypt declaring Bitcoin unlawful (Arabic)
How to explain the Bitcoin bubble to young people 
Could there be a government-controlled cryptocurrency after Bitcoin?
Is Bitcoin a means to digital slavery? 

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