The shariah issues involving cryptocurrencies include the permissibility of dealing with them given that they are not backed by assets, nor their value is guaranteed by any authority or party. This is in addition to their vulnerability to sharp fluctuations in their values and to electronic piracy; not to mention the infeasibility of controlling their use in illegal activities, such as financing the drug trade and so on. Shariah issues also include whether they possess the necessary shariah characteristics of a valid currency such that their circulation may be subjected to riba rules similar to gold, silver and conventional currencies. The chapter also investigates the extent to which the resemblance of cryptocurrencies to money may qualify them for waqf , such that they can be endowed as waqf ; whether as a charitable waqf or a family waqf . Since Bitcoin is currently the most popular cryptocurrency, the research takes it as a model in this study .
Raja Aishah binti Raja Adnan, Mahazan Abdul Mutalib, Muhammad Ridhwan Ab Aziz
Purpose This research paper aims to determine the factors needed to propose a platform where waqf (Islamic endowment) organizations can collaborate with government public hospitals to develop corporate waqf hospitals. Consequently, the elements of governance and sustainability are included in the management of corporate waqf hospitals thereby leading to the corporatization of public hospitals. Design/methodology/approach This study adopts the qualitative research methodology and undertakes content analysis of data collected from journal articles, magazines and official websites. Data analysis involves open coding with NVivo 12. Findings General findings from the literature review have shown that architectural and engineering fundamentals were essential factors in the success of past waqf hospitals of the era between 8th and 14th centuries. In that era, the decentralized waqf-based hospitals employed the mutawalli (the trustee/manager of the waqf assets) to govern the administration of the hospitals. Present corporate waqf hospitals can exploit the elements identified from past waqf-based hospitals and additionally adopt the private-public partnership model in the form of a muḍārabah (profit-sharing contract) agreement to design a sustainable waqf governance model for Malaysian public healthcare services. Research limitations/implications The proposed platform is designed for a corporate waqf model developed in collaboration between Malaysian waqf institutions and public healthcare services. It abides by both the Malaysian fatwa (Islamic rulings) on waqf and the laws of the Malaysian Government. Practical implications There is potential for developing the Malaysian corporate waqf-governance healthcare model which will enable the hospital to provide better quality healthcare to more patients through upgrading the quality of equipment used in hospitals and/or better facilities at equal or lower costs. Consequently, this will not only improve waqf management and distribution but also result in reduction of government expenditure. Social implications This research promotes the concept of a corporate waqf hospital which will provide innumerable beneficial healthcare services in terms of improved healthcare quality at affordable costs to the general public and at no cost to the poor and the underprivileged. Originality/value Although waqf has played an important role as a vehicle for Islamic financing in the society for centuries, a model of collaboration or partnership of waqf with public healthcare services has yet to be explored and developed. With proper corporate governance and well-managed sustainability in a corporate waqf model, this newly developed partnership between waqf institutions and public healthcare providers can be a first step in many more interesting collaborative arrangements that can be established between waqf institutions and public services in the future.
Abstract: The emergence of innovation in the world of digital finance in recent years has received attention from various parties commonly known as financial technology. This innovation is in the form of crowdfunding and blockchain platforms. These two innovations can not only be used for commercial, but also social purposes, including waqf. There is a huge potential of cash waqf in Indonesia. However, the realization is relatively still low. This study aims to analyze at a glance waqf blockchain in Indonesia that can optimize the realization of waqf development in Indonesia. Qualitative research methods is used in this paper through the study of literature. The results of the study show that Indonesia is very likely to implement waqf blockchain because the Muslim population reaching more than 80%, the flexible concept of waqf fiqh and the emergence of the halal industry. The most challenges faced are related to waqf literacy to increase public awareness. Investigating about perceived intention to use waqf blockchain through questionnaire and a deep interview with the stakeholders is important for the future research. Keywords: technology, blockchain, waqf.
Purpose This paper aims to investigate whether Islamic indexes, Bitcoin and gold still act as hedges or/and “safe-haven” assets during the COVID-19 pandemic crisis. This paper examines the role of the Morgan Stanley Capital International all-country world index, Islamic index, gold and Bitcoin as a hedge or safe-haven asset for the world conventional stock market over the period from April 30, 2015 to March 27, 2020. Design/methodology/approach In this paper, the authors re-evaluate the hedge and safe haven properties of Islamic indexes, gold and Bitcoin following Baur and Lucey’s (2010) and Baur and McDermott’s (2010) methodology. Findings Empirical results show that the Islamic index is not a hedge or a safe haven asset for the world conventional stock market during the recent coronavirus crisis period. Different from the whole period, the authors find that gold is a strong hedge but only a weak safe or is not a safe haven during the coronavirus sub-period. Bitcoin reports distinctive properties, as it acts as a weak hedge and not a safe-haven asset. Originality/value This paper is the first study that investigates whether the global Islamic index still acts as hedges or “safe-haven” assets during the new COVID-19 crisis period. The results can help investors make informed decisions when adding cryptocurrencies and Islamic indexes to their portfolios during the coronavirus crisis.
Purpose This study aims to explore the opportunities and challenges in activating a Smart Contract to enhance the efficiency and effectiveness of Ṣukūk offerings in the Islamic capital market. Design/methodology/approach The study adopts a mono-method qualitative approach. Data were obtained from survey interviews of two issuances on the fusion of smart contracts in Ṣukūk structures that were Sharīʿah-compliant. A thematic approach was further used to analyze the interview data based on the onion research method while opportunities and challenges of activating the Smart Ṣukūk (SṢ) relied on doctrinal evidence. Findings The results from the issuances across two jurisdictions showed that deployment of SṢ can resolve contractual ambiguities arising from Sharīʿah interpretations, jurisdictional policies and legal regime issues, which affect Ṣukūk origination and issuances especially on the right of investors in the event of Ṣukūk defaults. Although SṢ is automated, the third party’s presence is not eliminated as the blockchain platform still relies on the validators who are usually blockchain developers functioning as a third party in the Ṣukūk chain. Research limitations/implications The study relies on doctrinal literature to explain the features and requirements of SṢ. The empirical approach is limited to interview data based on local SṢ issuances. Future studies need to explore regulators’ role and global standards in cross-border issuance of SṢ with multiple jurisdictions/laws. Practical implications The paper concludes that the offering of SṢ using local currency has been successful in the two issuances because of the facilitative regulatory environment. However, addressing Ṣukūk’s challenges in cross-border offerings would require guidance from international standard-setters such as the Accounting and Auditing Organization for Islamic Financial Institutions and the Islamic Financial Services Board. Originality/value This study is an advanced application of smart contracts to alleviate the related Ṣukūk challenges in the Islamic capital market.
Samer Ali Al–shami, Abdullah Al Mamun, Nurulizwa Rashid, Mohammed Al-shami
Microcredit financing is extensively considered as an effective development method for poverty mitigation and women empowerment. Nevertheless, relevant studies reflected opposing outcomes on microfinance effects consisting of positive, zero, and negative impacts. Thus, this research investigated Al-Amal Bank’s microcredit impacts on women empowerment in Yemen, one of the poorest Middle Eastern nations. A panel dataset and primary and secondary data were gathered through household surveys and propensity score matching to restrict intangible variables’ possible effects. The empirical results revealed that microcredit had a significant positive effect on monthly household incomes and accumulated asset values. Although microcredit facilitated female entrepreneurship and income generation for improved household incomes and expenditure, no influence was found on female household decisions and mobility following the patriarchal system practised in many Arabian nations, including Yemen. Hence, the study finding has theoretically and practically contributed to the body of knowledge in three ways. First, a novel proof of how microcredit interactions affected several Yemeni women empowerment elements was identified. This study also provides new insight into the empowerment theory by explaining how access to microcredit influences numerous features of women’s economic and social empowerment. Lastly, social and family traditions significantly influenced female attributes and lifestyles by reflecting how communal and family rituals affected microcredit impacts on women empowerment and vice versa. Conversely, this study guides Yemeni policymakers and those from other nations on extending financial services for self-development to reduce poverty and drive women empowerment rather than relying on government and international agencies.
Objective – This study proposes a conceptual framework of Zakat based management model using blockchain technology with its transparent, secure, auditable, and efficient system in order to enhance the trust in zakat agencies. Design/methodology – This study is based on literature and theoretical reviews. This study took BAZNAS as the model of the Indonesian zakat agency to use Blockchain-based zakat payment on which zakat payers can track the fund allocated to the beneficiaries directly. Results – This research demonstrates the importance of Blockchain and smart contract technologies in zakat management by developing a model that combines zakat management agencies with the components of Blockchain and smart contract technologies. Research limitations/implications – The proposed model can contribute to the sustainability and efficiency of zakat agencies and is in line with the poverty eradication effort in Indonesia.
Digitalization of Money is a crossroad in monetary history. Advances in technology has led to the development of new forms of money: virtual (crypto) currencies like bitcoin; stable coins like libra/diem; and central bank digital currencies (CBDC) like the Bahamian sand dollar. These innovations in money and finance have resonance to earlier shifts in monetary history: 1) The shift in the eighteenth and nineteenth century from commodity money (gold and silver coins) to convertible fiduciary money and inconvertible fiat money; 2) the shift in the nineteenth and twentieth centuries from central bank notes to a central bank monopoly; 3) Then evolution since the seventeenth century of central banks and the tools of monetary policy. This paper analyzes the arguments for a CBDC through the lens of monetary history. The bottom line is that the history of transformations in monetary systems suggests that technical change in money is inevitably driven by the financial incentives of a market economy. Government has always had a key role in the provision of outside money, which is a public good. Government has also regulated inside money provided by the private sector. This held for fiduciary money and will likely hold for digital money. CBDC could make monetary policy more efficient, and it could transform the international monetary and payments systems.
Purpose After the COVID-19 outbreak, the Federal Reserve has undertaken several monetary policies to alleviate the pandemic consequences on the stock markets leading to a misunderstanding on the cryptocurrency market response. This paper aims to evaluate the effects of the Federal Reserve monetary policy on the Islamic and conventional cryptocurrency dynamics during the COVID-19 pandemic. We, specifically, examine the associate bubbles and feedbacks effects. Design/methodology/approach This paper developed a novel methodology that detects market bubbles using the statistical indicators defined by Psychological (PSY) tests. It also investigated the effect of the Federal Open Market Committee (FOMC) announcements on conventional and Islamic cryptocurrencies compatible with Islamic laws “Shari’ah” by using the event-driven regression. Findings The empirical results show that the FOMC announcements have a positive significant effect after one day of the event and a negative effect before two days of the announcement on the conventional cryptocurrency markets. However, the reaction of Islamic cryptocurrencies to these events is not significant except for Hello Gold after one day of the announcement. Besides, the Hello Gold and X8X cryptocurrencies present no bubbles during this period. However, Bitcoin and Ethereum markets have short-lived bubbles. Research limitations/implications The main contribution of this study is the investigation of the response and vulnerability to pandemic shocks of a new category of cryptocurrencies backed by tangible assets. This work has practical implications as it provides new insights into trading opportunities and market reactions. Originality/value To our knowledge, this work is the first study that compares the response of Islamic and conventional cryptocurrency markets to FOMC announcements during the COVID-19 pandemic and examines the presence of bubbles in these markets. Besides, the originality of this work is derived from the novelty of the data employed and the method used (PSY tests) in this study.
Muhammad Nur Aqmal bin Khatiman, Muhammad Salikin bin Ismail, Norzariyah Yahya
Zakat is one of the five pillars in Islamic principles, subject to all qualified Muslims which requires them to contribute a proportion of one of their income or the wealth possession for the welfare of the Muslim community. In Malaysia, Lembaga Zakat is the organization appointed by each state government to manage the zakat transactions. The zakat transactions can be done either through online transactions or over the counter. However, there are issues related to zakat management such as the zakat payers are not satisfied with the zakat distribution, and there are claims for lack of transparency in the zakat management which lead to trust issues among zakat payers to contribute their zakat through Lembaga Zakat. One way to respond to the issues is by having transparency in the zakat transaction by applying a trust model such as blockchain in zakat management. Thus, this project aims to use blockchain technology and its main component, smart contract, as the base of the zakat collection and utilize Ethereum as the platform.
Shifa Mohd Nor, Mariani Abdul-Majid, Siti Nabihah Esrati
Purpose This study aims to explore the perceptions of zakah institutions and the intention of society towards the application of blockchain technology in zakah management. Design/methodology/approach The nature of this study is qualitative, attempting to indulge into the contribution of Fintech in Islamic social finance. This study uses a mixed-method to gauge the perception of stakeholders. For the quantitative approach, a survey was carried out focussing on zakah receiver and zakah payer. The data then was analysed based on the technology acceptance model. While interview survey with multiple stakeholders (zakah institutions, JAWHAR and university) was conducted to gauge the perception of zakah institutions in using blockchain technology. Findings The findings of this study provide a positive view for zakah institutions to embrace the usage of blockchain in its management, however, there are several concern that needs to be addressed. Practical implications This study provides new insights to the body of knowledge especially in the zakah management system and Fintech. Besides, from a managerial aspect, this study contributes to the new practices that could be implemented in zakah institutions. Social implications Many people lose jobs and income due to the economic turmoil and COVID-19 pandemic, which makes zakah an important Islamic social finance tool to assist in socio-economic development. It is high time for zakah institutions to implement blockchain especially during this pandemic crisis that requires a more contactless approach to ensure health and safety. Originality/value This study is important to encourage Islamic social finance institutions to embrace blockchain technology in providing an efficient service to the development of social and economic.
The global financial market is influenced by relatively new technologies such as cryptocurrencies; namely Bitcoin, Ethereum, Litecoin, and others. Cryptocurrencies are a challenging area in finance that requires additional attention from the academic community as they can have a potentially large impact on society and the economy.
Abstract The history of Islam is inextricably connected to a celebrated history of trade and commerce which distinguishes it amongst monotheistic faiths. The modern incarnation of Islamic trade finance, however, bears only rudimentary similarity to the trade practices of old. Modern Islamic trade finance is devised to replicate conventional trade practices so that the barter-like immediacy of the Islamic contract of sale has been replaced with promissory attributes (wa’d). Yet Islamic law (sharia) has shown itself to be fully capable of adapting to modern trade practices so long as its major principles remain intact. The introduction of blockchain and smart contracts for Islamic trade finance does not change this basic calculus and yet these technologies promise to revolutionise Islamic trade practices in a way that compels the industry to operate in closer keeping with its commercial principles. Paradoxically, these technologies require substantive changes in the way in which Islamic trade finance is practiced, helping the industry to overcome its attachment to legal artifice (hiyal). Using comparative law methodology, this chapter briefly examines a short history of trade and commerce in the Islamic tradition, followed by the development of modern Islamic finance. It addresses the principles of Islamic commercial law as the basis for understanding the murabaha contract for trade finance, followed by an analysis of the legal and sharia-related issues that English courts have dealt with in the practice of Islamic trade finance. Finally, the chapter considers the transformative capacity of blockchain and smart contracts for Islamic trade finance, highlighting prominent legal and sharia-related issues that compel the industry to transform its trade practices markedly.
Blockchain technology is rapidly gaining the attention of financial institutions around the world, especially among decision makers in Islamic financial institutions who are planning to apply this innovative technology into their institutions activities which could be an upright solution for their issues and challenges. This paper contributes to the emerging literature on financial technology by discussing some of the innovative applications of blockchain in Islamic financial institutions. In addition, this paper sheds light on the main opportunities and challenges facing application of Blockchain Technology in the Islamic financial industry and highlight the way forward to address these issues. Relying on the previous literature and analysis; this paper confirms the enormous opportunities for utilizing blockchain technology in various Islamic financial applications such as Waqf, Zakat and Sukuk. On the other hand, the main challenges towards implementing blockchain in this industry are the complexity of Islamic finance products added to the opacity of its application which end up with unclear regulations and lack of standards.
Marwan M. Abdeldayem, Saeed Hameed Al Dulaimi, Fuaad Hameed Al Dulaimi
The purpose of this study is two-folded. The first purpose is to examine the perception of Islamic finance experts and Shariah scholars on the Islamic cryptocurrency (i.e., GOLDX and OneGram). The question is whether it has a role in reconciling cryptocurrency in Islamic finance. The second is to introduce the new Islamic cryptocurrency to serve these rich Islamic populaces. The study used a qualitative research approach by conducting interviews to explore the Islamic scholars’ views on the framework of the new Islamic cryptocurrency. The scholars have been deemed to meet particular requirements of having comprehensive knowledge and have extensive experience in both the Islamic Shariah and cryptocurrency. Accordingly, the number of such scholars was limited, and eventually, with the access offered only to five scholars from different Islamic countries. We thoroughly analyzed the collected data from the interviews. The findings reveal that Islamic law is absent on the essential models for the conventional cryptocurrency utilization(such as bitcoin) as either a legitimate or illicit apparatus exchange device. Consequently, introducing new Islamic cryptocurrencies is to reconcile cryptocurrencies such as GOLDX and OneGram. They will play a vital role in attracting more than 1.5 billion Muslims around the globe to enter the world of cryptocurrency.
<p style="text-align: justify;">Changes in the payment systems of some countries, initiated by the use of cryptocurrencies, have opened up many dilemmas in the economic literature. Although knowledge of this phenomenon has not been yet sufficiently crystallized, some states managed to regulate its use. In this paper, we investigate whether cryptocurrencies can be considered аs а currency, which has drawn increasing attention from regulators who are concerned about tax, insurance and other consequences related to the legal treatment of cryptocurrencies. The subject of the paper is to analyze the history, characteristics and level of cryptocurrency regulation in the world. The aim of the paper is to analyze the possibilities for regulating cryptocurrencies in the Republic of Serbia through the analysis of countries where the use of cryptocurrencies is legal.</p>
Andrea Delle Foglie, Ida Claudia Panetta, Elias Boukrami, Gianfranco A. Vento
This paper aims to investigate the Sukuk industry and Distributed Ledger Technologies (DLTs) applications exploring their fundamentals and criticisms to shed light on potential opportunities both for Sukuk issuances and for the securitisation industry. DLTs are characterised by intense competition and potential future disruption in the banking and finance industry for both conventional and IF arena and Sukuk industry representing a leading sector. Using a case-study analysis on some pioneers’ Blockchain-based Smart Sukuk and tokenisation projects, we try to identify the potential streamlining of the inquiry and issuance process. This paper contributes to the literature on Sukuk and the use of DLTs matching the need demand and supply-side, highlighting new opportunities for the Islamic Finance (IF) standardisation, considering the different interpretation of Shariah between countries making up a barrier to its growth. Therefore, the ShariahTech industry's outgrowth might contribute to developing new instruments as ancillary or alternative to conventional bonds providing new policy implications for regulatory authorities and stimulating the global market competition.
In Terrains of Exchange: Religious Economies of Global Islam (2014), historian Nile Green suggests a theoretical framework that could be employed to analyse Muslim responses to colonialism. Especially he analyses how individual Muslims as well as Islamic organisations transformed themselves or developed as they struggled with each other in order to stake claims on an increasingly connected world. One such development was the ideology of Pan-Islamism, which strives to unite Muslims of all creeds in an effort to meet the challenges posed by colonialism and modernity. The Pan-Islamic current was, however, merely one of many Islamic ideologies that developed during the late nineteenth and early twentieth centuries, and rather than being a time of Muslim unity, the period in question witnessed the emergence of a multitude of Islamic factions. One of these was the Aḥmadiyya Jamāʿat which will be in focus in the current article. In his study, Green turns the spotlight on such processes and attempts to “look beyond the discursive surface similarities of Muslim ‘beliefs’ to probe instead the multifarious – and indeed competing – social producers of religion.”11 Nile Green, Terrains of Exchange: Religious Economies of Global Islam (New York: Oxford University Press, 2014): 2. A further objective of his study is to suggest a terminology that will, in contrast to using emic vocabulary, better allow us to analyse Islam as an “internally competitive field of social actors and organizations.”22 Green, Terrains of Exchange, 10. The aim of this article is to make use of Green’s conceptualisations and terminology in order to analyse the evolution of the Aḥmadiyya Jamāʿat as it transformed from being a Sunnī reform movement into the world’s largest Islamic new religious organisation. The Aḥmadiyya Jamāʿat is to be understood here as an Islamic new religious movement based upon the fact that it was founded by a charismatic leader, Mīrzā Ghulām Aḥmad (1835-1908), who emerged as a preacher connected to Islamic reformist currents in nineteenth-century India but who later increasingly developed a theology rejected by other Muslims.33 For a discussion of the concept of new religious movements, see David, G. Bromley, “The Sociology of New Religious Movements”, in Hammer, Olav & Rothstein, Mikael (eds.). The Cambridge Companion to New Religious Movements. (Cambridge: Cambridge University Press, 2012): 13-28. For a discussion of the Aḥmadiyya Jamāʿat as an Islamic new religious movement, see Brian Arly Jacobsen; Göran Larsson & Simon Sorgenfrei, “The Ahmadiyya Mission to the Nordic Countries”, in James R. Lewis & Inga Bårdsen Tøllefsen (ed.), Handbook of Nordic New Religions, (Brill: Leiden, 2015): 359-373. In his framework, Green directs our attention to what he labels “firms” and “entrepreneurs” as “producers” of religious goods through “adaptations” and “innovations” used to attract “consumers” on a developing religious “market”. “Adaption,” in Green’s usage, is employed to signify how such Muslim entrepreneurs might use and modify the techniques of their competitors in order to suit their own purposes while “innovation” refers to forms of religious strategies that go beyond adaptation so that new (often hybridised) religious forms may be generated.44 Green, Terrains of Exchange, 9-10. A subordinate aim of Green’s book is to develop an analytical terminology and we must therefore not confuse the analytical term “innovation” with the emic use of the term, i.e., as a translation of the Arabic bidʿa. As in other economies, religious entrepreneurs and firms are dependent upon consumers for their success and therefore might need to adapt their products so that they become more attractive and desirable than the goods offered by their competitors. This might be done by making use of new forms of technology; novel and more effective organisational structures; or various interpretations of religious sources or practices, some of which may be more creative than others. In regard to such new markets, Muslim entrepreneurs having educational backgrounds other than the traditional madrasah education became more common, and they also increasingly disseminated their teachings through novel forms.55 Francis Robinson, “Technology and Religious Change: Islam and the Impact of Print”, in Modern Asian Studies, Vol. 27, No. 1, (1993): 229-251; Göran Larsson, Muslims and the New Media: Historical and Contemporary Debates, (Farnham, Surrey: Ashgate, 2011). The growing popularity of such preachers gradually undermined the authority of the ʿulamāʾ in regard to a market where “any Ahmad, Mahmud or Muhammad could claim to speak for Islam.”66 Francis Robinson, “Technology and Religious Change: Islam and the Impact of Print”, in Modern Asian Studies, Vol. 27, No. 1, (1993): 245. Mattias Dahlqvist, The Politics of Islam, Non-Violence, and Peace: the Thought of Maulana Wahiduddin Khan in Context. Diss. (Umeå: Umeå University, 2019): 54. Let us now take a closer look at the market context in which Mīrzā Ghulām Aḥmad emerged. By 1834, when the American Presbyterian Mission was established in Ludhiana near Mīrzā Ghulām Aḥmad’s hometown of Qāḍiān, British missionary churches had already been active in India for some twenty years, and they were then bustling with activity.77 Spencer Lavan, The Ahmadiyyah Movement: A History and Perspective. (Delhi: Manohar Book Service, 1974): 44. Missionary stations were built, and through them new forms of religious organisations were introduced alongside novelties such as the printing press. Missionaries published apologetic Christian tracts and refutations of local religions as well as grammars and dictionaries of Punjabi, Urdu, Persian, Hindi, and Kashmiri. Shortly afterwards came translations of Hindu, Sikh, and Islamic religious texts. Through such new and often belligerent methods of evangelism, Christian missionaries quickly expanded their activities throughout the Punjab and the so-called North-West Frontier.88 Simon Ross Valentine, Islam and the Ahmadiyya Jama'at: history, belief, practice, (London: Hurst & Co, 2008): 44. This antagonism could not go unanswered for long and demanded therefore responses from local religious leaders. The new situation both provoked and intrigued them, and efforts were subsequently made to learn about the competing religions and the methods of the European missionaries. It also forced them to engage creatively with their own traditions. This situation resulted in a wide range of Sikh, Hindu, and Muslim reform and fundamentalist movements.99 Valentine, Islam and the Ahmadiyya Jama'at, 44. Historical developments were, however, also great sources of inspiration when developing such new responses. In regard to Islamic developments, which is the main focus of this article, Islam in India had been negotiated by a growing number of competing preachers and groups at least since the time of Shāh Walī Allāh al-Dihlawī (1703-1762), who argued for the need of ijtihād – active interpretations of the Islamic sources rather than taqlīd, conformity to institutionalised earlier interpretations – and who developed a means of Islamic reform that combined elements from both historical Sufi and modern Wahhabi currents stemming from the Arabian peninsula.1010 For a thorough discussion of ijtihād and taqlīd, see Rudolph Peters, “Ijtihad and Taqlid in 18th and 19th Century Islam” in Die Welt des Islams, vol. 20, no. 3–4, (1980): 131–145. The Barelwī movement could be described maybe as a of and the movement is a Sufi while the were to the Wahhabi Islamic in British Oxford University Press, The emergence of religious reform therefore be understood both as a to and as by the and by the British and the of modern for and the of on the of the in in & and the of University of the Press, with and Global Religious in of the American of vol. no. The about by also resulted in the development of a new and the of this often had a more or European education that became dependent upon British to their in Modern Islam in A 2. New also a in time as a to this a growing number of religious subsequently a need to their religious and them in a to and with the modern then In his study Modern Islam in analyses the development of reformist Islam in India in the development of Aḥmad by European educational founded Muslim University in This was to be a modern educational based upon a European to the new than being Islam to similarities and Islam, and developed a to Islam as being with European and Modern Islam, The in is who was active during a period when the was developing a of in regard to the British and was also a new of that resulted in European and a in Islamic than Aḥmad Islam, to was not with but the of therefore argued that was as a to Islam, and through such of he was to attract or of the new than the that were to Aḥmad Modern Islam, The development is by the was in and was a when Mīrzā Ghulām Aḥmad while at the local was to become a and in as well as in and from to his to he developed from the Islamic since Aḥmad In his book The of Religious Thought in Islam for for a but Islam, one that take into both the and of Islam while being to modern developments in and other of Modern Islam, also Muhammad The in Contemporary of Press, were also other currents and active that must be in such as the or Wahhabi current with a themselves that had in with Arabian in of their of or sources for Islam other than the and the of the was the which could be as an made by ʿulamāʾ to develop a that of the of Aḥmad and the of Lavan, The Ahmadiyyah For a thorough see Islamic and the who argued for a Islam that to and charismatic Islamic the nineteenth a wide of Muslim themselves in to Islamic sources and through of all in to and and the of Christian missionary not by to the of Christian missionary firms religious by in and preachers to a traditional of The of religious to new by Christian missionary firms and later by both and Muslim missionary new as well as new Green, Terrains of Exchange, One of the in which Christian missionary churches new religious economies, a that be and developed by the of colonialism and missionary was to and which were by Hindu, Sikh, and Muslim Mīrzā Ghulām Aḥmad was into a Punjab of historical for the but which at the time of his in and in to in the by the and later by the to A Muslim in University Press, 2015): an education for a of his with by when he was was by a Sunnī of who in the and the of he Arabic with a connected to the he Arabic and with a In to the he also with his who was a of and in to The of he had the of the Islamic of nineteenth-century India and also Ghulām Aḥmad’s later that the fact that Mīrzā Ghulām Aḥmad had madrasah education could be of for his later evolution as he was therefore to the of such an of Religious Thought and Oxford University Press, he not a or also in with other Islamic of the late nineteenth and early twentieth to In Aḥmadiyya this fact been used to develop an of Ghulām Aḥmad as i.e., in the as the to as Khan Ghulām Aḥmad’s education was which could some of the in his when to historical Sunnī the development of his later theology and Spencer and Khan that Ghulām Aḥmad had a or some other of Sufi as a number of his and of his terminology be to Sufi teachings that were in in Punjab and the India of the Lavan, The Ahmadiyyah Khan that is the it Ghulām Aḥmad in with earlier such as the Shāh Walī Allāh al-Dihlawī as it he indeed with and also Sufi Mīrzā Ghulām Aḥmad was employed as a in the of the of which also was a for Christian missionary in not Ghulām Aḥmad time to religious in and and in that other to As Khan also a of during the he in but what he was his had It is Khan these the which later came to of Ghulām Aḥmad’s to to Green’s concept of of this is an of how the methods and of their and them into of Ghulām Aḥmad was not the to and in he also the of Aḥmad and other currents of Islamic It however, that he was to a by the more of than by the of Aḥmad to It is also during these that we Ghulām Aḥmad’s Sufi as it was then that he the to In Mīrzā Ghulām Aḥmad was in and with his It as he his religious on his but is also to been in with local as well as with of the to his in Ghulām Aḥmad to a on both a and had by then for local but was a of that allow to the of he had to was forced to on his own and his in the world. By Ghulām Aḥmad in the reformist and the more fundamentalist as well as the Christian active in the to and develop into a and with his and of increasingly being by his and the he was about to the Aḥmadiyya The of Christian missionary churches in India to the of a of who also were in to Lavan, The Ahmadiyyah to It was these and as a to such challenges that Mīrzā Ghulām in the published his of the It was in and Christian and In a to he so by to the Islamic sources to new interpretations which he argued were more for his time and the challenges of his In the the of Ghulām Aḥmad’s described is creatively in a was now developing his own of what a of an modern Islam might look The book was well and was a by of the who Mīrzā Ghulām Aḥmad’s of and the religious Lavan, The Ahmadiyyah in the early Mīrzā Ghulām Aḥmad was a reformist Muslim and was for his apologetic who his in other he had a to attract consumers on the religious market of which he was now a One of the we that Ghulām Aḥmad with Christian missionaries in the is the of Christian missionaries in India used the about not being on the but instead being to to their that they then it must also be the that is to since and but as an Valentine, Islam and the Ahmadiyya Jama'at, to of Christian to to and the of his had a for many Khan and he was indeed the then was it who was in while Muhammad in to This also to Mīrzā Ghulām and he to develop his interpretations of the and Islamic on throughout his theology on the was published in a book in in and published translation of the book is The is a of how the competitive situation could and to their own as well as their religious and with the being creative new be the Mīrzā Ghulām Aḥmad to to the Islamic while a to the as the of that not from the and to which he was he argued Islamic that had in fact on the and was later and the of his as a in and where he of as other had done and as Mīrzā Ghulām in from the and to Islam Valentine, Islam and the Ahmadiyya Jama'at, to the of in Valentine, Islam and the Ahmadiyya Jama'at, Mīrzā Ghulām Aḥmad’s teachings about as an early of what Green an “innovation” made to a Christian on Islam and of how might and in the of teachings and upon in University of Press, Christian missionaries to use Islamic teachings about in order to Islam, and as a Mīrzā Ghulām Aḥmad creatively developed an about the Christian A later of his it “The of was, by the of the Aḥmadiyya movement as the of Valentine, Islam and the Ahmadiyya Jama'at, In developing his own interpretations of the of however, Mīrzā Ghulām not Christian but also interpretations It is in to that Ghulām Aḥmad and the Ahmadiyya been as being in to Islamic Göran Larsson, of in & the of Muslims in in of In later he came to the or and the or of where was the and was the of the and was the of the Muslims instead to be the and to from a based upon the is not the of but he is the of and the of the and is of all by which was by of the was to Ghulām that had the of but rather that be a they are the of The of the he is that had he had who might be his of and were while came not with a new but instead came to the of also Valentine, Islam and the Ahmadiyya Jama'at, the which are the of of the and the In a and a of Muslim must in religious from also Valentine, Islam and the Ahmadiyya Jama'at, in to his Mīrzā Ghulām Aḥmad argued for his and through the he to which was in by in his he was in a to the of the which increasingly on from Sunnī charismatic see Olav & Mikael Rothstein, to New Religious Movements”, in Olav & Mikael The Cambridge Companion of New Religious (New York: Cambridge University Press, 2012): Ghulām Aḥmad’s as a was, however, also his his and was one of the of the what become as the and the the regard Mīrzā to be a the the of i.e., that was the In Mīrzā Ghulām Aḥmad that had to a i.e., an that and the of Islam” and the of Islam all from Valentine, Islam and the Ahmadiyya Jama'at, also to As the the of the the was to the often in the of that was late nineteenth-century The in and in the the of the Aḥmadiyya Jamāʿat was Ghulām Aḥmad by then had as well as Valentine, Islam and the Ahmadiyya Jama'at, to Green, this of was not at a time when a number of such Muslim religious firms were founded by who had in the religious of their and he also how such in organisational more Christian than Green, Terrains of Exchange, In the of Ghulām Aḥmad’s a of was the the Jamāʿat developed as an to local religious in India and the teachings of Mīrzā Ghulām Aḥmad in a that the Christian but the and of the Jamāʿat were also connected to Islamic For the of Mīrzā through a in a to for Sufi or as the be to the in Islamic in of Islam, Ghulām Aḥmad’s to on a market was through a to Islamic as it was connected to a that not the from the of Muhammad Book was understood as a of in the and Mīrzā Ghulām Aḥmad was as being that that Islam to and it throughout the Muhammad The of the Ahmadiyya Ahmadiyya Through such an and the could be as missionary of at a time when that Ghulām Aḥmad was increasingly attention from other Muslims in This use of a that Mīrzā Ghulām Aḥmad and his Jamāʿat at a in time and also be as a with other new religious & Rothstein, to New Religious The organisational that had by then developed was to missionaries and by Mīrzā Ghulām Aḥmad and his the Jamāʿat was by a of who their to Ghulām but the of his he however, to the organisational framework of the In the of the Aḥmadiyya was to his his Valentine, Islam and the Ahmadiyya Jama'at, One of the of the was, and to a i.e., Mīrzā Ghulām Aḥmad’s Valentine, Islam and the Ahmadiyya Jama'at, we might to modern forms of and to early Islamic and the of the The organisational of the Jamāʿat developed further the and the and is by Simon Ross of Muslim reform Valentine, Islam and the Ahmadiyya Jama'at, As of this Mīrzā Ghulām Aḥmad also established educational to the further and of his In the was founded in as a for the education of the of the and to them the of Mīrzā Ahmad, Ahmad, Press, the was a modern connected to Islamic and in the Mīrzā Ghulām Aḥmad as the that Islamic as well as modern so that may to 2. In the education at the which by then had into a was into own – the The the developed into own the which was established in in Punjab as a missionaries to be into the in order to local Aḥmadiyya are established in in and in of Islam in the Vol. In developing the educational and missionary Mīrzā Ghulām Aḥmad and the Aḥmadiyya Jamāʿat were by traditional Islamic as well as by their Christian Islamic in the (New York: Oxford University in their educational activities and in their translation and of the and Ghulām Aḥmad’s in an growing number of their activities methods employed by Christian missionaries in and who and published the in local and also the for apologetic The of the Islamic of the movement the into the Aḥmadiyya to the European in India was to and One of Christian missionary activities in British India that Mīrzā Ghulām Aḥmad and other Muslim was the of on Islam and translations of the in and local done by British such as and which and Islam on The The Muslim or the in Vol. No. 1, In order to engage in the disseminated by both Aḥmad and had their published in in and with a in Modern Islam, As we Ghulām Aḥmad to the on a and the the Aḥmadiyya Jamāʿat in being founded was the that Green as the religious at that time and one of the in the missionary that was then – a printing Valentine, Islam and the Ahmadiyya Jama'at, the of the printing in Muslim see Larsson, Muslims and the New As Ghulām Aḥmad had and his own was he with to his own to his own tracts as well as other Islamic he their own printing them not to Mīrzā Ghulām Aḥmad’s but also and i.e., modern a The and were published in Urdu, but already in they published the of The of in a that is in as a In The of Religions, Mīrzā Ghulām Aḥmad’s teachings and the activities could be to the in India more to As European missionaries and also translations having and that many Muslims as A was long the translation of the into done by a Muslim was by an early of Mīrzā Ghulām In published his translation The with on the and the of the and been The that his translation a and Islam, from developments throughout as well as from by it rather than Muslims might on it is a European that he had in The he for his to a of the to the For a of Aḥmadiyya translations of the into see Sorgenfrei, of the into by Aḥmadiyya A in of Studies, and Mīrzā Ghulām Aḥmad however, a and it that already the that his translation was on a new translation was by of Mīrzā Ghulām Maulana who also Mīrzā Ghulām Aḥmad’s into Maulana translation of the was published in and is introduced by a long about Islam as a and the as Muhammad The the Arabic with and Islamic and translations – with their what they to be European at the time that they an Aḥmadiyya of Islam – might therefore be to be what in which the to or in of Studies, vol. no. the time that the of Mīrzā Ghulām Aḥmad to be as a period during which his developed into a but their in their own the of techniques and missionary methods such as the printing new and translations of the into Ghulām Aḥmad and the to develop as an Islamic new religious movement and into an increasingly As the market a market Mīrzā Ghulām Aḥmad was but one of many Muslim active in British India during the nineteenth and early twentieth centuries, as he argued for the of ijtihād and therefore the of the ʿulamāʾ by that was a need for a Islam that could meet the challenges of Lavan, The Ahmadiyyah use of Green’s we regard as a religious making use of and and in a he be attractive on the religious market of his his and were well but his popularity in to the of his The he was was or to attract the the and from Mīrzā Ghulām Aḥmad developed his theology the and of the it further be argued that Mīrzā Ghulām his and the development of other new religious in such as the and the of Through an use of both Christian and Islamic he developed his own both as a religious and as an in an As Ghulām Aḥmad his from a Islam that could be attractive to the of Muslims to as a and his market in as the market Mīrzā Ghulām Aḥmad and the Aḥmadiyya Jamāʿat increasingly developed of such as translation and a of Green’s and theoretical framework as these were the new of that Muslims other of in the nineteenth Green, Terrains of Exchange, the the Aḥmadiyya Jamāʿat being established was a printing so that Ghulām Aḥmad’s could be in and then increasingly in Through the of his the of Ghulām Aḥmad and his and the Aḥmadiyya became increasingly as by a growing number of who Ghulām Aḥmad and the Aḥmadiyya in a later refutations of Ghulām and the Aḥmadiyya Jamāʿat as he had to the they were to be as or see also Larsson, of It was rejected and developed into an Islamic new religious movement the charismatic and later of Mīrzā Ghulām Aḥmad and his It could here be that this is not in to Ghulām Aḥmad and the Aḥmadiyya As we he was but one of many more or interpretations of sources to a market of consumers for religious to a social In to some of the other Muslim he was in his efforts to attract the Sunnī but in to he was charismatic or to a that on with of the world.
Tujuan penelitian untuk mengetahui kointegrasi, kausalitas berikut pengaruh antara Bitcoin dan nilai tukar Rupiah. Metode penelitian uji regresi linier sederhana dengan metode ARCH- GARCH, Kointegrasi Johansen, dan Kausalitas Engel Granger. Data Bitcoin dan nilai tukar menggunakan data mingguan selama enam tahun (2013-2019). Penelitian ini mendapatkan Bitcoin tidak memiliki kointegrasi jangka panjang dengan nilai tukar Rupiah. Hubungan kausalitas berbentuk pola satu arah yang terjadi pada Bitcoin terhadap nilai tukar Rupiah. Bitcoin memiliki pengaruh positif terhadap nilai tukar Rupiah. Transaksi Bitcoin tidak memenuhi salah satu rukun maupun syarat dalam al-sharf sehingga tidak sesuai dengan ketentuan syariat Islam serta transaksi tidak dapat dibatalkan walaupun terjadi pending order. Bitcoin lebih beresiko pada maysir, batil, dan gharar.
Purpose This paper aims to provide a reflective discussion on the different avenues of blockchain application in Islamic finance in promoting trust and transparency for increased accountability between parties involved in the delivery of Sharīʿah-compliant products and services. Design/methodology/approach This paper discusses on blockchain benefits in Islamic finance while providing an illustration with smart Sukuk. Having identified the advantages of the development of Islamic financial technology (i-FinTech), this study ends by debating a couple of challenges (computational codification of Sharīʿah principles and environmental impact) that have to be addressed to promote the development of a real sustainable Islamic FinTech. Findings This paper also identifies two challenges in using blockchain in i-Fintech. The first challenge refers to the extent to which Sharīʿah principles can be computationally encoded. Blockchain makes public all transactions that ease Sharīʿah compliance checks and determine if these transactions are Islamic in nature but this check can be done only after their operation. The second challenge is related to the algorithmic protocol used to validate smart contracts (including smart Sukuk). This situation calls into question the principles of Maqasid al-Sharīʿah according to which transactions should not harm society. Originality/value In the current debates related to the development of Islamic FinTech, this paper also identifies two challenges in using blockchain in i-Fintech.
Nur Firas Nazim, Nabiha Mohd RAZIS, Mohammad Hatta
Blockchain technology has been a buzzword globally especially among financial industrial players. It can be observed that most developed countries had begun to legalise the implementation of blockchain technology including European Union as well as the member states of G20 in order to secure their leading position in supporting the Fourth Industrial Revolution. Be that as it may, scholars admitted that Malaysia had been a bit desolated primarily in terms of its legalisation on the blockchain’s adoption in the country despite various initiatives that had been taken initially. Hence, this study was conducted to investigate the behavioural intention to adopt blockchain technology specifically among bankers in Malaysia Islamic financial system. A combination of theories, mainly the Unified Theory of Acceptance and Use of Technology 1 (UTAUT 1) as well as Technology-Organization-Environment (TOE) Framework had been chosen to be used in the study. This research implemented the quantitative method in which more than 200 questionnaires were distributed to 12 domestic banks in Malaysia through both self-administered method and online survey. Multiple regression analysis was applied to further verify the hypothesis made. Based on this study, it had been proven that effort expectancy, social influence and facilitating condition are the only factors that affect the behavioural intention to adopt blockchain technology with effort expectancy being the most significant factor among all. However, the results had also proven that the non-factors of the variables strengthened the fact that Malaysia is still at the primitive stage in respect to blockchain adoption. Thus, it signifies the importance for the industry to begin adopting instead of attempting by considering the best initiatives recommended in accordance to Malaysia’s mould in which the banks could opt to start working on the institution voluntary regulation whereas for the government, perhaps they could commence a consortium which consists of Islamic financial institutions in the country to develop their experience before implementing on their own. It is hopeful that the initiatives could help to secure the position of Malaysia as the world Islamic financial hub in the coming years.
Mohd Faizal Yusof, Lisasari Ab. Rasid, Ridzuan Masri
Bitcoin spearheaded the rise of cryptocurrencies since it was first launched in 2009. The concept of bitcoin as digital currency was first published publicly in the 2008 well-known whitepaper by pseudonymous Satoshi Nakamoto. The whitepaper outlined a self-serving peer-to-peer transaction network concept based on cryptographic proof instead of trust, allowing any two willing parties to transact directly with each other without the need for a trusted third party such as financial institutions. Since then, thousands of cryptocurrencies have been launched mostly through token offerings as an alternative approach of raising funds for blockchain, technology projects, and start-ups. People are holding cryptocurrencies mostly as digital asset investments. Some individuals made huge profits from buying cryptocurrencies at their initial offerings and sold later when the prices increased. Some crypto millionaires were born from such trades. However, many people lost their investment as well due to many factors. Some were due to bad investment decisions, and some fall into scams and investment programs run by dishonest peoplewith promises of highly lucrative returns. As trading and owning cryptocurrencies are becoming common, governments and policymakers around the world are coming up with proper and comprehensive regulations for cryptocurrencies. In the context of Malaysia, in which zakat collections and distributions are of state matters, this paper discusses the implementation of zakat payment platform for cryptocurrencies at zakat institutions. This paper seeks to contribute to the academic development, blockchain technology, and zakat management.