Interest and usage of cryptocurrencies has suddenly boomed over the past year or so and some countries have even begun to adopt Bitcoin as legal tender.
However, others have rejected its rise and have even declared that all cryptocurrency transactions are illegal.
Another case in point is Indonesia’s recent announcement that cryptocurrency is haram and forbidden for Muslims under Islamic law.
According to Bitcoin.com, Indonesia’s Ulema Council (Majelis Ulama Indonesia or MUI) which is the country’s top Islamic body that holds the authority on Shariah compliance, has reportedly declared the use of crypto as a currency haram, forbidden under Islamic law for Muslims.
Asrorun Niam Sholeh, head of religious decrees, explained yesterday (11 November) that the council held an expert hearing that cryptocurrency has elements of “uncertainty, wagering, and harm.”
However, he noted that if cryptocurrency as a commodity or digital asset can abide by Shariah tenets and can show a clear benefit, then it can be traded.
Indonesia, the country with the largest Muslim population, has an estimated 231 million Muslims, which is 86.7% of the country’s population.
The MUI decree is not legally binding and does not mean cryptocurrency is banned in Indonesia. However, MUI hopes that it deters Muslims from investing and local institutions from issuing or providing services in crypto assets.
The Ulema Council advises the country’s finance ministry and central bank on Islamic finance issues.
Last month, a provincial branch of one of the largest Islamic organisations in Indonesia, Nahdlatul Ulama, similarly declared cryptocurrency haram under religious law.
However, the Indonesian government has indicated that the country will not impose an outright ban on cryptocurrency as China did.
Crypto assets are allowed to trade alongside commodity futures in Indonesia but cannot be used as a currency. Meanwhile, the government is pushing to set up a crypto exchange by the end of the year and Bank Indonesia has been exploring a central bank digital currency (CBDC).
What do you think of this? Let us know in the comments.
AirAsia Group Bhd Changes Name To Capital A Bhd To Reflect New Core Business Strategy
AirAsia Group Bhd has changed their group name to Capital A Bhd (Capital A) in a move to further expand...
M’sians Who Had To Reschedule Their Umrah Trips Will Be Given Compensation From The Govt
Those still waiting to carry out their Umrah pilgrimage will soon be able to resume their travels. Minister in the...
Kedah MB Blames Water Shortage in Sik on Locals For Watering Their Durian Trees at Night
Who would have known it was all the durian’s fault. Climate change has been a never-ending issue and it seems...
Thailand is The 1st Asian Country To Legalise Marijuana For Medical & Limited Recreational Use
This is such a monumental move! On 25 January, ABC News reported that Thailand is the 1st country in Asia...
Another Turtle Found Dead On Terengganu Beach, Making It The 12th This Month Alone
Yet another turtle was found dead in Terengganu last night, making it the 12th poor turtle to perish this month...
“The minister has no heart for us” – Rina Harun Slammed by OKU Groups Over Issues With JKMPay
A disability rights group has recently labelled Women, Family & Community Development Minister Datuk Seri Rina Harun as “heartless” following...
“He’s an expert” – Politician Defends Logging Remarks Made By Kelantan Forestry Department
Just recently, Kelantan Forestry Department claimed that logging is actually good for tiger population, following reports of sightings of a...
Student From Technical Institute in Melaka Punched For Having Crush on The Same Girl as His Bully
There are some moments in school which we will forever be fond of. But sometimes school can also be the...
Social Stories22 hours ago
Pharmacy Students Receive Backlash For Judging Unmarried M’sians Who Buy Birth Control Pills
Social Stories23 hours ago
M’sian Lecturer Was Too Stunned To Speak When Her Student Said Assignments Were Eaten By Rabbit
Social Stories22 hours ago
“I’m sorry & I hope to meet him soon” – Dato Seri Vida Apologises For Her Remarks About Anuar Zain
Social Stories5 hours ago
M’sian Parents Are Beyond Shocked To Read WhatsApp Chats Between 2 Young Children Wanting To “Couple”