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Halal Cryptocurrency and Financial Stability

  • Muhamed Zulkhibri
Chapter

Abstract

The development of electronic means of payment has shown a new perspective: it is now possible to think about financial processes without the need for a traditional, trusted intermediary, e.g. a bank or an online payment service. As part of the new technology, there is an emergence of privately developed digital currencies so-called a cryptocurrency using new decentralized technologies. The terms cryptocurrencies, virtual currencies and digital currencies are often used interchangeable, but they are different. Fundamental to these cryptocurrencies is the establishment of a new asset, the unit of the cryptocurrencies, i.e. a Bitcoin and a new record-keeping and transfer mechanism that enables users to store and trade those units, i.e. a blockchain, often without reliance on traditional financial institutions.

Keywords

Cryptocurrency Halal Finance Financial stability 

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  • Muhamed Zulkhibri
    • 1
  1. 1.Islamic Research and Training Institute (IRTI), Islamic Development BankJeddahSaudi Arabia

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