Since the invention of money, the major religions of the world have grappled with its effect on human morality, the unequal distribution of wealth, and the indignities of poverty.
“Through money, even the incorruptible can become corrupted,” said the 19th-century Hasidic rabbi Menachem Mendel Kotzk
“Therefore, if they desire to invest their money, let them exercise diligent care lest they be snatched by cupidity, the source of all evil,” wrote Pope Benedict XIV in a 1749 encyclical.
“Wealth is the tribulation of the soul and the plunder of calamities,” warned Shia scholar Abu al-Fath al-Amidi.
Now, the three Abrahamic religions — Islam, Christianity and Judaism — are encountering a new type of money in the form of cryptocurrency.
Halal and Haram crypto is a matter of debate
Islam has no central authority like a Pope, leaving scholars to debate whether crypto is halal — that is, permitted by Islamic law. Islam has strict definitions about what constitutes a permissible currency and has explicit rules against usury.
Hamza Redzuan, research analyst at the Qatar Centre for Global Banking and Finance, writes, “Some cryptocurrencies are considered to be Shariah-compliant, but crypto has generally elicited mixed views in the Islamic world.”
“Some scholars rule that investing in crypto is halal as long as the underlying project is halal, while others consider the whole category to be haram [forbidden], as crypto characteristics, such as valuation based on market fluctuation and its use in gambling, are considered un-Islamic.”
Malaysia’s National Ulema Council banned crypto in 2021 because it possesses elements of uncertainty, gambling and harm.
Other Islamic scholars who are critical of crypto have raised concerns over its lack of intrinsic value. Islamic legal observers Mohammad Rasikh Wasiq and Mohammad Hamed Shahab write:
“Bitcoin does not fulfill two criteria of Islamic money. At first, it does not have intrinsic value, and second, the price of Bitcoin is highly volatile. Moreover, Bitcoin and other cryptocurrencies are not tangible. Taking into account these three unmatched criteria, Bitcoin is not legal in Islamic sharia deals and it cannot be base of deals in Islam.”
However, there are also organizations specializing in Islamic finance that have introduced rating systems for cryptocurrencies. Practical Islamic Finance (PIF) has an index that rates assets’ halal status as “comfortable,” “questionable,” or “uncertain.”
Furthermore, just as there are Islamic financing projects designed to provide funds without charging interest, there are also Islamic-centered cryptocurrency projects that attempt to comply with the edicts of the religion. The ISLM cryptocurrency project purports to have an asset that adheres to principles of Islamic finance and operates on a Shariah-compliant blockchain, Haqq (“haqq” means “truth” in Arabic).
It even employs Shariah Oracle, which “ensures that all smart contracts that interact with the HAQQ Wallet are Shariah-compliant, which means they adhere to Islamic principles and ethics.”
Redzuan says with these ongoing discussions and Islamic crypto projects, “there is now certainly more guidance and regulation for Muslims looking to invest in crypto assets in a way that aligns with their principles.”
Christians meet crypto
With an estimated 2.5 billion Christians in the world spread across tens of thousands of denominations, views about money, crypto and, and how they should interact with them are understandably diverse.
Many of the older and more conservative denominations have taken a hard stance. The Russian Orthodox Church has rejected cryptocurrency outright, saying that it will not accept tithes or donations in Bitcoin or any other form of crypto.
The Catholic Church, while not having a specific stance on crypto, has expressed skepticism and caution around emerging technologies. The late Pope Francis described a “technocratic paradigm” in remarks at the World Economic Forum in January, which “perceives all the world’s problems as solvable through technological means alone.”
However, other Christian groups have embraced blockchain technology and crypto as a means of furthering their mission.
In August 2024, a Colorado church, One Hope of Colorado, tokenized the historic Old Stone Church in Fort Collins on the Polymesh blockchain. One Hope was renting the church at the time and was hoping to raise money to purchase the property.
Pastor Blake Bush from the Church highlighted the community aspect of cryptocurrencies, stating: “The idea of tokenizing the Old Stone Church building to allow…
cointelegraph.com