Salaam mufti faraz hope your in good health.
I know pos staking is halal.
However when you want to unstake there is generally a certain amount of time that needs to pass before the tokens/coins are release once you click the unstake button. Which is made clear prior to the staker prior to staking.
Is this halal? I know commodities are supposed to be traded on the spot but i don’t see any trading as its staking.
Jzk.
Thank again for all the work you are doing.
Im sure lots of muslims are praying for you for the good work you and the team have done.
Wa alaykum salaam,
Jazakallah khayran for your kind duas.
The time limit in and of itself doesn’t make it non compliant.
You are correct, staking is more services-based and not a token for token exchange. Therefore, this is fine.
So Pos staking is permissible?
Alssalam Alaikom, sheikh
I’d like to ask about a new protocol for staking whether it is halal?
So basically, it is a new token where holders geg rewarded for every transaction happens. So when a buyer purchases or a seller sells any number of his balance of this specific token, a tax fee of 10% gets charged to buy, sell, transfer from an address to another, and that 10% gets divided automatically into three portions, 1st is to be burned, 2nd is to be locked up for liquidity for up to 4 years and the third portion is about 4% out of that 10% is to be distributed to all the rest of the token holders without staking.
So basically, any holder continuously sees his balance of this token is increasing with every refresh due to those continous distributions to incentify the holders to hold not sell.
Is this Riba?
Please @Mufti_Faraz_Adam respond to this question by @Ahmaddar. I also want to know the ruling. Thank you. May Allah bless you and your family.
sir staking cake token in pancakeswap is halal ?
@Ghafar_Ahmed I am wondering with the same question. I assume you mean is staking CAKE to earn other token.
What I learned by reading the smart contract source code is that, at the creation of the pool, some amount of reward token is already allocated to be distributed among anyone who participate in the staking pool, for example, for every new block, 10 ABC tokens are distributed to pool participants. The pool ended after all allocated rewards are distributed.
Usually this happen when a new project just launched, they wanted to promote their project and wanted their tokens to be held by lot of users. New project prefers this staking pool rather than randomly airdrop newly launched tokens to thousands of random wallets.
I am computer science guy, not an islamic scholars, but in my opinion there is nothing wrong with this model, as long as the reward token is not from a haram project.