What are the advantages and why we need to use Islamic Coin $ISLM 💸
The mission of Islamic Coin involve over 1.8 billion Muslims in digital finance without compromising values and faith.
🕌 Islamic Shariah-compliant trading, often referred to as Islamic finance, is rooted in the principles of Shariah law, which governs various aspects of a Muslim's life, including economic activities. Here are some key elements of Shariah-compliant trading:
✅1: Prohibition of Riba (Usury/Interest): Shariah strictly prohibits the payment or receipt of interest. Islamic finance encourages profit-sharing arrangements where both parties share in the risks and rewards of a transaction, fostering a more equitable system.
✅2: Avoidance of Gharar (Uncertainty/Excessive Risk): Transactions involving excessive uncertainty or ambiguity (gharar) are discouraged. Contracts should be clear and transparent to ensure fair dealings.
✅3: Prohibition of Maisir (Gambling): Engaging in speculative transactions or activities that resemble gambling is not allowed. Investments should be based on real economic activities and not rely on chance.
✅4: Ethical Investment: Shariah-compliant trading emphasizes ethical and socially responsible investments. Trading in industries such as alcohol, gambling, and pork-related products is strictly prohibited.
✅5: Asset-Backed Financing: Islamic finance encourages transactions backed by tangible assets. This ensures that wealth is generated through legitimate and productive economic activities rather than through financial speculation.
✅6: Profit-and-Loss Sharing (Mudarabah): In Mudarabah contracts, one party provides capital, and the other provides expertise. Profits are shared, but losses are borne by the capital provider. This encourages a partnership model in business.
✅7: Fixed Income Securities (Sukuk): Sukuk are Islamic bonds structured to generate returns without interest. They represent ownership in a tangible asset or project and provide a way for investors to earn profits in compliance with Shariah.
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