Blockchain and other Distributed Ledger Technology (DLT) captivate scholars, developers, and innovators worldwide.
Increasingly, technology pioneers and adopters, especially outside the G-7, are integrating blockchain in legal and financial spheres to have a competitive edge over competitors.
This is especially true in the Middle East and most Maghreb countries. Modern blockchain concepts merge with fair values like transparency and harmony in sync with Islamic finance rules.
Financial Solutions Integrating Islamic Finance Ideals
The blockchain is built and anchors on the same principles that resonate positively with Islamic ideals.
For instance, a typical public ledger is transparent, client-facing, and relatively cheaper. It is maintained by a global community ensuring synchrony, honesty, safety, and fairness.
These are the same guidelines harmonious with Islamic rules.
Accordingly, more and more Islamic banks and financial institutions, serving over 2 billion people, are adopting blockchain and cryptocurrencies.
The quest to remain open-minded while not deviating from rules actively binding a community keen on maintaining fairness saw ICICI Bank and Emirates NBD research about blockchain capabilities. Their goal was to find ways through which the technology can help reduce the cost of transactions.
Adoption in the Middle East
Subsequently, the Emirates Islamic Bank became the first in the Islamic world to adopt blockchain for fraud prevention.
This was a definitive moment for crypto and alternative currencies actively innovating to unseat fiat from the mantle in place for efficiency, transparency, and most importantly, affordability.
Often, the discussion on Islam compliance of cryptocurrencies is shaped by many opposing factors, including the competing interest of regulators, legislators, innovators, and non secular students. Often, the conclusion of the latter could be numerous and normally contradictory.
Building An Islam-Compliant Transactional Blockchain
The Caizchain will launch a platform the place folks can ship funds in a safe and Know-Your-Customer (KYC) atmosphere in adherence to binding Islamic aws.
It is an progressive and technology-based monetary answer that makes use of cryptocurrency in line with Islamic requirements, values, and guidelines. Their teachings and legal guidelines prohibit involvement in hypothesis–Gharar, charging of curiosity–riba, playing, and different illicit actions.
From their whitepaper, the Caizchain answer can act like a dependable pal that’s useful and reliable. Moreover, it’s open-minded with international outreach. Concurrently, the platform is tech-savvy and trendy with out abandoning sacrosanct Islamic values.
A Mix of Modern and Islamic Compliance: CAIZ
The Caizchain complies with Islamic norms guiding finance, safe, and constructed to allow low cost transfers of worth and funding in industries that aren’t concerned in halal.
Through the platform, customers would make sure that companies who draw their main income from illicit actions can’t transact utilizing the platform.
The native forex, CAIZ, can also be Islam compliant. Additionally, its pockets conforms to Islamic Finance Standards whereas its credit score strains are in sync with Islamic ethics. Although the Caizchain requires customers to submit their particulars, its transactions are clear however nameless.
All are traceable on the blockchain. This method, customers can store cheaply and extra conveniently, even withdrawing their funds utilizing on-line wallets like PayPal, debit/credit score automobiles, or different cryptocurrency wallets.
Through this, customers can use the CAIZ token to finance Mekka Haddsch journeys, donate to a noble trigger by Zakat and waqf, and even make purchases from permitted distributors adhering to Islamic values.