Title

The legal cause of “holding value” and its impact on islamic provisions regarding virtual currencies

Source of Publication

Religions

Abstract

© 2020 by the authors. Licensee MDPI, Basel, Switzerland. This article discusses the Islamic juristic position of virtual currencies. In the classical period, jurists differed on the reason behind Islam’s prohibition of usury when dealing with precious metals and their derivatives, with the majority arguing that this is because they are considered to hold value (thamaniyya). The cause (illa) of “holding value” can therefore be applied through analogy (qiyās) to all things understood by the laity to hold value in any era. In the contemporary period, this cause can also be applied to virtual currencies such as Bitcoin if they fulfill the following ethical conditions: customary acceptance, legal validity, and value stability.

Document Type

Article

First Page

1

Last Page

11

Publication Date

7-1-2020

DOI

10.3390/rel11070339

Author First name, Last name, Institution

Man Baker, Zayed University
Muhammed Semai, University of Sharjah

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