IslamiCity.org Homepage
Forum Home Forum Home > Religion - Islam > Islamic Finance
  New Posts New Posts RSS Feed - Bitcoin/crypto currency and Islam
  FAQ FAQ  Forum Search   Events   Register Register  Login Login


Bitcoin/crypto currency and Islam

 Post Reply Post Reply Page  123>
Author
Message
Ceo3 View Drop Down
Groupie
Groupie
Avatar

Joined: 18 September 2016
Status: Offline
Points: 64
Post Options Post Options   Thanks (0) Thanks(0)   Quote Ceo3 Quote  Post ReplyReply Direct Link To This Post Topic: Bitcoin/crypto currency and Islam
    Posted: 02 March 2017 at 11:29pm
A salaams all,

Any thoughts on Islams view on bitcoin? From what i have read there is huge support for muslims to get involved and indeed purchase cryptocurrency. But what is the other side of the coin(pun intended). On the surface it looks like currency, some are saying its less haraam than fiat paper money or credit card facility.

May Allah swt guide us all.
Back to Top
Tim the plumber View Drop Down
Senior Member
Senior  Member
Avatar

Joined: 30 September 2014
Location: United Kingdom
Status: Offline
Points: 865
Post Options Post Options   Thanks (0) Thanks(0)   Quote Tim the plumber Quote  Post ReplyReply Direct Link To This Post Posted: 04 March 2017 at 2:01am
Bit coin is a scam because it is like a currency but one of the reasons the US dollar works and the Zimbabwean dollar failed is because of the governance of it being untrustable.

The US dollar has the over-sight of the US government. It has the depth of the US ecconomy. This is why it works all over the world. The Swis franc has the even better over-sight of the Swis government and the very good Swis democracy but not the depth of the huge US economy.

Thus for having some emergency cash for a rainy day in your safe the Swis franc is the money of choice for the world's rich. But for having the power to buy a new super tanker it's the US dollar.

Bitcoin is not over-seen by any governance I can trust.

So if I needed to launder some drugs money then a quick flush through the Bitcion system would work well but for legitimate stuff I'll keep it real.



Edited by Tim the plumber - 04 March 2017 at 2:03am
Back to Top
Ceo3 View Drop Down
Groupie
Groupie
Avatar

Joined: 18 September 2016
Status: Offline
Points: 64
Post Options Post Options   Thanks (0) Thanks(0)   Quote Ceo3 Quote  Post ReplyReply Direct Link To This Post Posted: 06 March 2017 at 10:06pm
Thanks for input Tim the Plumber

Agree crypto currency could be used for evil. Also a big reason as i see for its creation could be just to circumvent government controls. But there is an argument against too much government regulation, which could be detrimental of its people.

Yes dollar is great, however just for its own citizens and mainly for the wealthy. US benefits from strong currency, due to petro-dollar, and seignorage. While the rest of the world losses out. Not to mention the dollar denominated loans whereby US gets interest. So Bitcoin could be threat to dollar and other major currencies, but who gets to benefit most? If it is evil organisations and the super wealthy again then I too wont trust.
Back to Top
DavidC View Drop Down
Senior Member
Senior  Member
Avatar

Joined: 20 September 2001
Status: Offline
Points: 2442
Post Options Post Options   Thanks (0) Thanks(0)   Quote DavidC Quote  Post ReplyReply Direct Link To This Post Posted: 07 March 2017 at 6:30am
Bitcoin is a currency derivative. Because it is has a defined limit, one can infer that the hyperinflation recently seen in bitcoin reflects what would happen to money in an honest currency system.

The question of Islamic propriety is still unaddressed. Perhaps a member with influence in the Islamic banking community will inquire for us?
Christian; Wesleyan M.Div.
Back to Top
Tim the plumber View Drop Down
Senior Member
Senior  Member
Avatar

Joined: 30 September 2014
Location: United Kingdom
Status: Offline
Points: 865
Post Options Post Options   Thanks (0) Thanks(0)   Quote Tim the plumber Quote  Post ReplyReply Direct Link To This Post Posted: 07 March 2017 at 11:28am
The idea that the USA benefits from the oil market being priced in dollars is wrong.

Just because the price is quoted in dollars means nothing. Any trade can use whatever currency they choose to. When a German company buys oil from Nigeria the trade is done looking at the at the price in dollars but will be in Euros.

A good question to ask is why is it that it is only the currencies of the democratic nations which are so trusted? Althought Singapore is an obvious exception...

Back to Top
Ceo3 View Drop Down
Groupie
Groupie
Avatar

Joined: 18 September 2016
Status: Offline
Points: 64
Post Options Post Options   Thanks (0) Thanks(0)   Quote Ceo3 Quote  Post ReplyReply Direct Link To This Post Posted: 08 March 2017 at 9:54pm
Wiki:Since the agreements of 1971 and 1973, OPEC oil is exclusively quoted in US dollars. This created a permanent demand for dollars on the international exchange markets.[3][4] As of 2005, OPEC continues to trade in US Dollars, but some OPEC members (such as Iran and Venezuela) have been pushing for a switch to the euro.

The world has to buy dollars then buy oil. Saudi is as much to blame as US. The democratic nations who have strong currency are also the wealthiest and military powerful. So whenever dollar under threat wars are waged to protect currency hence financial dominance.
Back to Top
Tim the plumber View Drop Down
Senior Member
Senior  Member
Avatar

Joined: 30 September 2014
Location: United Kingdom
Status: Offline
Points: 865
Post Options Post Options   Thanks (0) Thanks(0)   Quote Tim the plumber Quote  Post ReplyReply Direct Link To This Post Posted: 09 March 2017 at 9:06am
Originally posted by Ceo3 Ceo3 wrote:

Wiki:Since the agreements of 1971 and 1973, OPEC oil is exclusively quoted in US dollars. This created a permanent demand for dollars on the international exchange markets.[3][4] As of 2005, OPEC continues to trade in US Dollars, but some OPEC members (such as Iran and Venezuela) have been pushing for a switch to the euro.

The world has to buy dollars then buy oil. Saudi is as much to blame as US. The democratic nations who have strong currency are also the wealthiest and military powerful. So whenever dollar under threat wars are waged to protect currency hence financial dominance.


You do not have to buy dollars at all.

There is nothing stopping you, well a large comapny, from buying oil with gold bars. It is simply that the oil industry finds it more convienient to deal in dollars. Sellers of oil will accept other curriencies or whatever it will just make them charge a little more for the hassel.

Back to Top
Ceo3 View Drop Down
Groupie
Groupie
Avatar

Joined: 18 September 2016
Status: Offline
Points: 64
Post Options Post Options   Thanks (0) Thanks(0)   Quote Ceo3 Quote  Post ReplyReply Direct Link To This Post Posted: 09 March 2017 at 10:34pm
Can you provide proof or source? OPEC only sells in dollars since the 70s, google petro dollar, opec agreements ect. Every country tht supports withdrawel from petro dollar has been neutralised ie Iraq, Libya...next it would be Iran.
Back to Top
 Post Reply Post Reply Page  123>
  Share Topic   

Forum Jump Forum Permissions View Drop Down

Forum Software by Web Wiz Forums® version 11.10
Copyright ©2001-2017 Web Wiz Ltd.