Is investing in cryptocurrency or related products consider halal?

Just wondering for if cryptocurrency investment or related products are consider halal investing??

As the recent warren buffet agm, they did mention that about cryptocurrency: "I don't welcome a currency that's so useful to kidnappers and extortionists..."

So what are your views on this??

Reference:
https://www.businessinsider.com/berkshire-hatha...

Discussion (2)

What are your thoughts?

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Muhammad Ridhwaan

08 Oct 2023

Pro Tem Committee Chair at Islamic Finance @ Singapore

For halal investments, you may also want to consider other asset classes besides the earlier link which is fairly limited in asset class and understanding: https://islamicfinancesg.com/complete-guide-to-...

For cryptocurrencies, you may want to view this: https://shariyah.net/cryptocurrency/

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Tan Choong Hwee

06 May 2021

Solutions Specialist at Providend

Your question interests me into understanding what is halal investing, and I came across this article:

The Beginner's Guide to Halal Investing

The Principles of Halal Investing and Islamic Finance

Interest is prohibited (riba)
Avoid uncertainty-based transactions (gharar)
Avoid gambling (maysir _or _qimar)
Avoid prohibited industries such as weapons and tobacco

How does cryptocurrency fit in?

Crypto staking is yield earning by lending out your cryptocurrency.
Crypto trading is quite speculative and highly volatile.
Some may consider trading crypto as a gamble.
Cryptocurrency itself is neutral.

Based on the above reasoning, I think long term investing (not trading nor staking) in cryptocurrency with a small allocation of your overall financial portfolio may be considered halal investing. However, I'm no authority in deciding whether cryptocurrency investment is halal, so please consult the proper authority.

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