A Muslims Guide to Crypto Investing
There are countless investment and trading options nowadays, it is so confusing to figure out which option is permissible in Islam andÂ
which are not. Please Remember it is not a FATWA it's just a research baked work. Â
Types of Investments in Crypto:
• Flexible SavingsÂ
• Dual Investment Â
• Yield FarmingÂ
  • StakingÂ
  • Liquidity Pools
  • Lending and BorrowingÂ
STAKING
(PROOF OF STAKE)
GENERALLY considered 'Halal' as for providing security to the network you are earning yield.Â
Â
ASSUMING THE NETWORK ITSELF IS NOT DEDICATED TO HARAM ACTIVITIES.Â
LIQUIDITY POOLSÂ
A smart contract that blocks tokens to ensure liquidity on a decentralised exchange platform. Â
Liquidity Pools could be Halal so long as the Pool itself is not being used for Haram operations.
FLEXIBLE SAVINGSÂ
Deposits your crypto to earn interest with with the flexibility to redeem your funds at any time.
CONSIDERED TO BE HARAM, AS IT INVOLVES INTEREST.Â
DUAL INVESTMENT
Allows you to BUY or SELL cryptocurrency at your desired price and date in the future while earning a high-Interest Yield. Â
CONSIDERED TO BE HARAM AS IT INVOLVES INTEREST.Â
LENDING AND BORROWING
Lenders provide funds to borrowers in exchange for a regular interest rate. Â
CONSIDERED TO BE HARAM AS IT INVOLVES INTEREST.Â
SUMMARYÂ
HALAL
• STAKING *Â
• LIQUIDITY POOLS *Â
HARAM
• FLEXIBLE SAVINGSÂ
• DUAL INVESTMENTÂ
• LENDING AND BORROWINGÂ
*ASSUMING THE NETWORK/POOL ITSELF IS NOT DEDICATED TO HARAM ACTIVITIESÂ
Thanks for inspiredanalyst for sharing such an informative information.Â
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