Is Cryptocurrency Halal or Haram? Mufti Taqi Usmani Issues New Ruling

The legality of cryptocurrency has been a subject of debate among Islamic scholars for several years. Recently, renowned Pakistani Islamic scholar and President of Darul Uloom Karachi, Mufti Muhammad Taqi Usmani, issued a detailed fatwa declaring cryptocurrency transactions as impermissible or “Haram” according to Islamic Shariah.

The fatwa explains that, according to Islamic law, an asset must fulfill certain conditions to be recognized as valid “Maal” (property/wealth). Mufti Taqi Usmani stated that currently available cryptocurrencies do not meet these requirements and therefore cannot be considered Shariah-recognized assets.

He further stated that digital assets such as Bitcoin, USDT, stablecoins, and other crypto tokens are primarily based on virtual existence and lack the characteristics of true ownership recognized in Islamic jurisprudence. Therefore, buying, selling, or conducting transactions through these digital assets cannot be considered valid trade under Shariah, according to the ruling.

The fatwa also stated that whether they are called virtual currencies, crypto tokens, or stablecoins, all such digital assets fall under the same Shariah principles. Trading, investing in, or using these assets for purchasing goods has been considered impermissible from an Islamic legal perspective.

Mufti Taqi Usmani’s ruling has added a new dimension to the ongoing global debate over the religious status of cryptocurrencies. However, it should be noted that Islamic scholars worldwide hold different views on this matter, with some allowing cryptocurrency under certain conditions.

Source: Samaa TV