According to the official press release dated Oct 21 Algorand Foundation has bagged the much sought-after Sharia compliant license and put Islamic financial markets on its map.
Working under Islamic finance guidelines could be tricky as corporations in the Muslim world are required to raise capital in accordance with Islamic or Sharia law. Regarded as one of the most ethical practices in the business world, the century-old regulation is now gaining traction in the modern-day non-Muslim world as well. Besides, the massive wealth generated by the Muslim nations has further proliferated its acceptance and triggered rapid evolution based on ever-changing consumer demands.
About the foundation
Adding a Sharia-compliant certification under its belt means the significant Islamic markets inclusivity for the Algorand Foundation – an organization that is in charge of the Algorand blockchain platform that offers scalable and efficient solutions to trade finance.
The foundation is committed to leveraging blockchain technology’s public, permissionless, and open-source features to building a robust financial ecosystem that offers equal opportunities for growth, unrestricted by borders.
Sharia compliant license to open doors to Islamic financial markets
Acknowledging the importance of Islamic financial markets, the foundation has registered the Shariya Review Bureau (SRB) as an independent Sharia Advisor to remain fully compliant with Sharia financing laws. Furthermore, a dedicated Algorand team will closely liaise with SRB to ensure that each decentralized application developed on Algorand distributed ledger remains Sharia-compliant.
Congratulating Algorand for the remarkable achievement, Founder and CEO of SRB, Yasser Dahlawi, commented that the Algorand network ticks all the right boxes of compliance. I am confident that its expertise in providing scalable and secure blockchain solutions will benefit the Islamic financial industry, he added.
Dahlawi also indicated that SRB would assist Islamic startups, who wish to build their financial solutions based on Algorand distributed ledger technology, in attaining the Sharia compliant license.
