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The Concept of Wealth (mÄ l) in the SharÄ«Ê¿ah and Its Relation to Digital Assets

Author

Listed:
  • Muhammad Ikhlas Rosele
  • Abdul Muneem
  • Azizi Bin Che Seman
  • Luqman Bin Haji Abdullah
  • Noor Naemah Binti Abdul Rahman
  • Mohd Edil Bin Abd Sukor
  • Abdul Karim Bin Ali

Abstract

The study aims to address the concept of wealth from the perspective of the SharÄ«Ê¿ah and its relationship to contemporary digital assets such as cryptocurrency (Bitcoin). The qualitative research approach is adopted for this research. The data is collected from several resources such as books, journal articles, reports, conferences papers, and websites. The data is analyzed through an explanatory research approach by providing scholars’ opinions and their arguments on the subject matter. The findings of this study show that SharÄ«Ê¿ah provides certain conditions to consider something as asset or currency from the SharÄ«Ê¿ah perspective. In regard to cryptocurrency (Bitcoin), the SharÄ«Ê¿ah rules vary based on the types of cryptocurrencies and whether cryptocurrency meets the conditions to be considered as currency or assets. Moreover, either cryptocurrency is an asset or currency, it should not contravene any SharÄ«Ê¿ah laws, such as ribÄ (interest) and gharar (uncertainty). Since SharÄ«Ê¿ah does not limit the currency to dirhams and dÄ«nÄ rs , Bitcoin can be considered as an alternative to the current currencies in a digital form. This would enable financial markets to move faster and secure transaction methods in the future. The policymakers might find this study beneficial to issue new guidelines and policy documents. The findings of the study might be interesting for cryptocurrency enthusiasts and investors to have a deeper understanding of cryptocurrency from the SharÄ«Ê¿ah viewpoint.

Suggested Citation

  • Muhammad Ikhlas Rosele & Abdul Muneem & Azizi Bin Che Seman & Luqman Bin Haji Abdullah & Noor Naemah Binti Abdul Rahman & Mohd Edil Bin Abd Sukor & Abdul Karim Bin Ali, 2022. "The Concept of Wealth (mÄ l) in the SharÄ«Ê¿ah and Its Relation to Digital Assets," SAGE Open, , vol. 12(2), pages 21582440221, June.
    • Handle: RePEc:sae:sagope:v:12:y:2022:i:2:p:21582440221102424
    DOI: 10.1177/21582440221102424
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    References listed on IDEAS

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