Islamic Scholar Says Digital Currency is Not a ‘Fictitious Currency’ – Emerging Markets Bitcoin News

Irshad Ahmed Ijaz is an Islamic scholar who asserts that digital currency does not constitute fake money and should be legalized after certain conditions have been met. Ijaz’s viewpoint is echoed by other scholars that attended a seminar examining the status of digital currencies from the perspective of Islamic law.

Cryptocurrency in the Digital Age

Irshad Ahmad Ijaz (an Islamic scholar/Mufti), recently stated that digital currency is not “fictitious money”. This was according to a recent report. But he said that only certain conditions can justify such currencies.

According to a report published by Academia, Ijaz, who made his remarks while speaking at a seminar held in Pakistan on cryptocurrencies — organized by the University of Karachi and the Al-Asr Foundation — also urged the Pakistani government to play its part and ensure the confusion surrounding the use of cryptos is removed.

The report quotes Ishaq alam (another scholar) who suggests that Islamic scholars must understand that the digital age is changing the way the world works and that new challenges will arise. Alam says that understanding this allows scholars to provide proper guidance for digital currency users.

Bitcoin’s Success

Echoing similar sentiments is Mufti Owais Paracha, a crypto expert who is quoted in the report acknowledging how past attempts to create a digital currency failed and how Satoshi Nakamoto’s creation ultimately succeeded. Paracha says bitcoin’s success is due to the combination of cryptography with so-called old techniques.

Scholars also stressed the importance of further research into the topic of digital currency. Scholars will be able to provide opinions and guidance for holders or users of digital currency in the country, which is ostensibly a benefit.

These sentiments, which were expressed by the mainly Pakistani scholars, come shortly after the country’s central bank governor, Reza Baqir, warned in a speech that the potential risks that are associated with cryptocurrencies outweigh the benefits. Baqir said that these assets could pose risks to financial stability.

Yet, despite the governor’s remarks, Bitcoin.com News reported in late December 2021 that Pakistanis possessed crypto assets that are valued at over $20 billion.

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Terence Zimwara

Terence Zimwara was a Zimbabwe award-winning journalist and author. He is a prolific writer on the economic woes of African countries, as well as digital currencies that can be used to provide an escape path for Africans.