Mufti Taqi Usmani issues fatwa declaring cryptocurrency trading impermissible under Shariah
- Darul Uloom Karachi’s Darul Ifta issues detailed ruling on cryptocurrencies
- Fatwa says Bitcoin, Ethereum, USDT and similar digital assets are not recognised as “maal” under Islamic jurisprudence
- Changing the name of digital assets does not alter the Shariah ruling
- Buying, selling and trading cryptocurrencies declared impermissible under the issued fatwa
Renowned Islamic scholar Mufti Muhammad Taqi Usmani has issued a detailed religious ruling (fatwa) declaring the buying, selling and trading of cryptocurrencies to be impermissible under Islamic law.
The fatwa, issued by Darul Uloom Karachi’s Darul Ifta and signed by its Muftis, states that cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), USDT, stablecoins and other blockchain-based digital tokens, are not recognised as “maal” (wealth or property) under the principles of Islamic jurisprudence.
Also Read:
According to the ruling, because these digital assets do not fulfil the Islamic legal definition of wealth, transactions based on them are not considered Shariah-compliant. The fatwa further states that changing the terminology of these assets does not change their religious status. Whether they are described as cryptocurrencies, virtual currencies, digital tokens or stablecoins, the same ruling applies.
حضرت مفتی محمد تقی عثمانی صاحب دامت برکاتہم کا کرپٹو کرنسی پر واضح فتویٰ:
— Crypto Roznama : کرپٹو روزنامہ (@CryptoRoznama) July 9, 2026
"موجودہ شکل میں کرپٹو (بٹ کوائن، ٹوکنز، اسٹیبل کوائن) کی خرید و فروخت زیادہ تر سٹہ بازی ہے، لہٰذا جائز نہیں۔"
دارالافتاء جامعہ دارالعلوم کراچی کا تازہ فتویٰ۔
آپ کا اس بارے میں کیا خیال ہے… pic.twitter.com/B6P0uYYJE4
The ruling also explains that when a cryptocurrency itself becomes the subject matter of a sale or the consideration in a transaction, such dealings are not valid under the principles outlined in the fatwa because the asset is not recognised as lawful wealth in Islamic jurisprudence.
Addressing a practical question, the fatwa states that if someone unknowingly receives payment in a cryptocurrency such as USDT in exchange for goods or services, they should not continue dealing in that cryptocurrency. Instead, they should seek to recover the value of their original entitlement through a Shariah-compliant arrangement.
Based on these principles, the fatwa concludes that buying, selling and trading cryptocurrencies are impermissible under the issued ruling.
Read all the Breaking News Live on pakistantimes.com and Get Latest English News & Updates from Pakistan Times. Follow us on Whatsapp channel for more.
