Assalamu alaikum.
I have always thought if Bitcoin as halal. It’s rather the individual coins that needs to researched.
I was sent a pdf written by a Mufti Sahib that I have uploaded to https://docdro.id/dws7r1a. Can this be reviewed as he says that it is haram.
Wassalaam.
Wa alaykum salaam,
Different scholars are entitled to have their own views as they are qualified to do so. People who are not scholars are simply tasked with following a scholar they feel is knowledgeable, reliable and has piety.
Jazaakumullah for your answer. Is the section below from the pdf accurate about the gambling/lottery element? I hold and trade crypto currency so not at all trying to say it’s haram.
When a transaction is conducted then the ‘miners’ will convert the information into an
alphanumeric string of characters called a ‘hash’. They will then need to add this ‘chain’ to the
‘block’, that is the blockchain ledger, in order for the transaction to be confirmed and allowed to move forward to verification. At this stage it becomes an issue based on chance. The bitcoin’s
core algorithm has decided what will be the ‘winning’ number for the current blockchain. This is
not known to anybody. Miners will, based on their computing power, continuously generate
hashes until it matches the block’s winning number; this is completely based on chance as is
described as a lottery by some. One would expect the ones with the powerful computing power
to win all the time but that is not the case, as it is akin to buying lottery tickets; so even though
the bigger operations have more lottery tickets, it increases their chances but does not guarantee
success. (Vigna & Casey, 2016, p.130) The purpose of this is two-fold; one to apportion a cost to
mining as the computer power required will use large amounts of electricity and require very
expensive hardware; and two to incentivise miners to confirm the transactions otherwise the
technology would fail as this is the very basis of its decentralised format.