Connect with us

Economy

Indonesian religious council forbids crypto for Muslims

Neill Fronde

Published

 on 

PHOTO: Crypto has been banned for Muslims in Indonesia. (via CryptoSlam)

While cryptocurrency is growing steadily in popularity, Indonesia’s council of religious leaders have announced that crypto and digital assets are banned for Muslims. Indonesia holds the largest Muslim population of any country in the world, and the National Ulema Council is the religious authority that makes decisions based on Shariah law.

In their deliberation and consultation with experts, they determined that crypto, with its rollercoaster surges and drops, is akin to wagering or gambling and the uncertainty can lead to real harm. For that, the council forbid Muslims from trading in digital assets and cryptocurrencies.

The head of religious decrees made the announcement, and it is not one to be taken lightly. In such a heavily Muslim country, the council holds great influence, with the central bank and the government’s Ministry of Finance consulting with them first to keep in line with Islamic finance decisions.

While the Indonesian government has made moves to embrace crypto, it is not a legal form of currency in the country for making payments. Rather, the government allows it to be traded as an investment similar to commodity futures and has also been focused on creating a crypto exchange by the end of 2021.

About US $26 billion worth of crypto transactions took place in Indonesia just in the first 5 months of the year (compared to a total of about US $ trillion total worldwide). Bank Indonesia has even been considering creating a central bank digital currency.

But now, contrary to other countries like Bahrain who have supported crypto assets for 2 years now and the United Arab Emirates where crypto trading in Dubai’s free zone is permitted, the National Ulema Council had taken a hard negative stance regarding cryptocurrency and digital assets.

They say that if crypto can find avenues that demonstrate a clear benefit while abiding by the principles of Shariah law, only then can it be traded by devout Muslims. This stance may cool the crypto trend in Indonesia, discouraging financial institutions from creating digital currencies and dissuading Muslim individuals from investing in crypto or digital assets.

SOURCE: Al Jazeera

 

Get more from The Thaiger

📱 Download our app on Android or iOS
👋 Have your say on our Thailand forum
🔔 Subscribe to our daily newsletter
📺 Subscribe / Join for daily shows
👍 Like/Follow us on Facebook
🐦 FOLLOW us on Twitter
📷 FOLLOW us on Instagram

image

Join the conversation and have your say on Thailand news published on The Thaiger.

Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.

Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.

Neill is a journalist from the United States with 10 years broadcasting experience and national news and magazine publications. He graduated with a degree in journalism and communications from the University of California and has been living in Thailand since 2014.

Follow Thaiger by email:

Thailand11 hours ago

17 people in close contact with Omicron-infected traveller test negative

Thailand11 hours ago

Thailand News Today | Omicron under control, Illegal border crossing, Thailand’s recovery | Dec 7

Thailand12 hours ago

Crane collapses in Samut Prakan, killing a man and injuring 2 others

advertiseadvertise
Crime12 hours ago

Chiang Mai street vendor with busty top files sexual harassment complaint with police

Thailand12 hours ago

Three arrested in human trafficking crackdown near Myanmar border

Thailand13 hours ago

Hua Hin luxury resort guest claims “peeping Toms” stared at him naked

image
Join the conversation on the Thaiger Talk forums today!
Thailand13 hours ago

168 Thai soldiers apparently forced to finish masturbating before showering

Coronavirus (Covid-19)14 hours ago

Hotel staff in close contact with Omicron confirmed to be negative in second test

Video14 hours ago

Grammar mistakes, Homemade coffee, Bhutan | Thaiger Bites | Ep.76

Southeast Asia15 hours ago

Myanmar ousted leader’s prison sentence reduced to two years

Chon Buri15 hours ago

Tourists stranded an island off the coast of Sattahip rescued by Royal Thai Navy

Thailand15 hours ago

Thailand deploys “King Cobra” unit at Myanmar border to monitor illegal crossings

Phuket17 hours ago

Thai Airways offering round trip Sydney-Phuket flights

Chiang Mai18 hours ago

1 tourist killed, 8 wounded in crash while on tour of Chiang Mai mountain

Coronavirus (Covid-19)18 hours ago

Hotel staff in close contact to Omicron case tests positive for Covid, variant not confirmed

Thailand3 months ago

Morning Top Stories Thailand | Police to end protests, Human Trafficking | September 14

Thailand9 months ago

Thailand News Today | Thai Airways in rehab, All go for Songkran | March 4

Tourism9 months ago

Phuket’s nightlife. Yes, bars and clubs are still open | VIDEO

Phuket9 months ago

Thailand News Today | Covid passport talks, Thai Airways heads to court | March 2

Tourism10 months ago

Phuket Thai food treats you need to try | VIDEO

Thailand10 months ago

Thailand News Today | Bars, pubs and restaurants ‘sort of’ back to normal | Feb 23

Tourism10 months ago

In search of Cat & Dog Cafés in Phuket Town | VIDEO

Thailand11 months ago

Thailand News Today | Gambling crackdown, Seafood market to reopen, Vlogger challenge | Jan 21

Thailand11 months ago

Thailand News Today | Covid testing for visas, Business impact, Vaccine approval | January 19

Thailand11 months ago

Thailand News Today | Weekend Bangkok bombs, Thailand fires, Covid update | January 18

Thailand11 months ago

Thailand News Today | Stray car on runway, Indonesian quake, 300 baht tourist fee | January 15

Thailand11 months ago

Thailand News Today | Governor off respirator, sex-trafficking arrest, condo prices falling | January 14

Thailand11 months ago

Thailand News Today | Chinese vaccine, Thailand ‘drug hub’, Covid update | January 13

Thailand11 months ago

Thailand News Today | Bangkok may ease restrictions, Phuket bar curfew, Vaccine roll out | January 12

Thailand11 months ago

Thailand News Today | Covid latest, Cockfights closed down, Bryde’s Whale beached | January 11

Trending