Crypto is increasingly halal (permissable from the standpoint of Islamic law).
X8 AG, a Swiss fintech developer, has received certification for its Ethereum-based stablecoin from the Shariyah Review Bureau, a Bahrain-based firm that advises financial clients on compliance with Islamic sharia law. The announcement represents a step forward for the many firms from the non-Islamic world that benefit from the rapidly increasing adoption of blockchain and cryptocurrency in the Middle East. Fintech providers have been applying to Islamic experts to assess their blockchain and crypto start-ups for compliance with religious principles.
X8 AG, which is based in Zug, Switzerland’s crypto valley, has created two tokens developed on the Ethereum platform: the X8 currency; and the X8X utility token, which operates as a fee-free key for the distribution and exchange of X8 currency.
The X8 currency is a “stablecoin” backed by a basket of eight currencies and gold; this is meant to satisfy Islamic concerns over excessive volatility and speculation, says X8 director and co-founder Francesca Greco.