Monetary and Banking Research Institute
Date:11/17/2020 1:45:43 PM   |   Code : 344927   |   View: 176

Analysis of the nature, extraction, and exchange of cryptocurrencies from the perspective of Islamic jurisprudence

The Monetary and Banking Research Institute published an expert report on "Analysis of the nature, extraction, and exchange of various types of cryptocurrencies and tokens from the perspective of Islamic jurisprudence and the laws of the country."

According to the public relations of the Monetary and Banking Research Institute, in the abstract section of this expert report published by Hossein Meysamy and Zeinab Biabani under the scientific supervision of Rasoul Khansari, it is stated: The use of cryptocurrencies and tokens in the economic and financial system is growing with the considerable speed at the international level, and it is expected that the use of these methods will develop in the country's economy in the future. Accordingly, it is important to accurately identify this new and emerging phenomenon's nature and functions to layout appropriate regulations for them.

This research has tried to identify the jurisprudential aspects of the subject and the knowledge of nature, regulatory approaches, and typology of different types of cryptocurrencies and tokens, including Universal cryptocurrencies, Central Bank cryptocurrencies (CBCC), and valuable and practical tokens.

The findings of this research, which have been obtained analytically-descriptively and with an ijtihad approach in jurisprudential sections, show that the infrastructure for accepting cryptocurrencies as a tool, solution, or institution in accordance with Sharia is provided. Some of these jurisprudential infrastructures are the principle of validity and necessity of contracts, the customary nature of the concept of money, the customary nature of the concept of proprietary worth, and the acceptance of all rational motives within the framework of Sharia.

However, the report writes about global cryptocurrencies (such as Bitcoin) as follows: In these cryptocurrencies, the two challenges of "lack of proprietary worth " and "risk" can be seriously considered. In the field of proprietary worth, issues such as lack of common practice, lack of credibility (the creditor) and legal responsibility, as well as the possibility of proprietary illusion can be considered, and in the field of uncertainty, severe and unregulated fluctuations of these types of cryptocurrencies can be mentioned. In view of these cases, it can be argued that neither the proprietary worth of the universal cryptocurrencies can be ascertained nor their non- proprietary worth, and therefore their use in practice can be subject to religious suspicion.

Also, the mentioned jurisprudential doubts and challenges are conceivable only in relation to the universal cryptocurrencies, and none of them can be proposed in relation to the cryptocurrencies of the Central Bank or valuable or practical tokens. Because the Central Bank cryptocurrency is under the legal supervision and control of the Central Bank, just like the Rial, and tokens are also under the supervision and accountability of their providers. Therefore, these types of cryptocurrencies have legal and specific validity, and doubts about them are inherently inconceivable. Besides, these suspicions only pose a jurisprudential challenge to the exchange of universal cryptocurrencies within the country, and therefore extracting them as an "export commodity" is legally flawless.

Those interested in accessing the full text of this expert report, which was judged by the late Dr. Seyed Abbas Mousaviyan and Hossein Yaghoubi, can refer to the portal of the Monetary and Banking Research Institute at http://mbri.ac.ir

Share

Your Email Address:  
Recivers Email Address