Pakistani Cleric Declares Cryptocurrency Trading Haram

A prominent Pakistani cleric has issued a fatwa declaring cryptocurrency trading haram under Islamic law. The ruling, which applies to widely traded digital assets including Bitcoin and Ethereum, was released by Mufti Muhammad Taqi Usmani through Darul Uloom Karachi.

The fatwa states that cryptocurrencies do not satisfy the Islamic definition of wealth or property and their buying and selling have been declared impermissible under Shariah. It also notes that using different terms such as cryptocurrency, virtual currency, token or stablecoin does not change the nature of these digital assets or alter the religious position on them.

The ruling comes at a time when the Pakistani government is actively working to regulate and promote the country's cryptocurrency sector. The Pakistan Virtual Assets Regulatory Authority has been established to oversee and license cryptocurrency exchanges while supporting the integration of blockchain technology into the country's financial system.