Egypt's Grand Mufti Declares Bitcoin Forbidden in Islam
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Loading... - Chiara Accardi
- 10 Dec 2024
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Egypt's Grand Mufti, Shawqi Allam, has announced that bitcoin is forbidden in Islam, citing concerns over its potential use for criminal activities. In a published ruling, he stated that bitcoin, which was launched in 2009 and operates on a peer-to-peer payment system, poses "high risks to individuals and states."
Allam warned that the digital currency could provide "stable and secure financial resources for terrorists and criminal groups." He emphasized that the authority to mint and issue currency is an "absolute right" of monetary institutions and is one of the most specific functions of the state.
Bitcoin is a virtual currency created from computer code, utilizing blockchain technology to record transactions in real time on an online ledger maintained by a network of computers. Its value has seen significant fluctuations, peaking at around $19,500 in December from approximately $1,000 the previous January, before declining after various warnings from governments and analysts regarding the risks and volatility associated with cryptocurrencies.
