Taqi Usmani Declares Digital Assets Impermissible
Pakistan’s leading Islamic scholar, Mufti Muhammad Taqi Usmani, has declared cryptocurrency trading impermissible under Islamic law.
The new religious ruling was issued in June 2026. It was later shared online by scholars linked to Darul Uloom Karachi.
According to the announcement, the ruling applies to cryptocurrencies, crypto tokens and stablecoins.
The ruling states that digital currencies do not meet the Islamic definition of wealth or property. Therefore, buying and selling them is considered impermissible.
Stablecoins and Tokens Also Covered
The announcement says the ruling is not limited to major cryptocurrencies like Bitcoin and Ethereum.
It also covers blockchain-based tokens and stablecoins, including USDT.
The document explains that different names do not change the nature of these digital assets.
Terms such as cryptocurrency, virtual currency, token and stablecoin all fall under the same category, according to the ruling.
It further states that changing terminology does not change the religious position on crypto trading.
Ruling May Influence Muslim Investors
The ruling was issued under the supervision of Darul Uloom Karachi. It also carries endorsements from several religious scholars, according to the shared documents.
Although the ruling is a religious opinion and not a state law, it may strongly influence public opinion.
Many Muslim investors in Pakistan may now reconsider their involvement in cryptocurrency trading.
The decision could also spark a wider debate on digital assets, Islamic finance and future regulation in Pakistan.
Cryptocurrency has already remained a controversial subject due to price volatility, regulatory concerns and uncertainty over its legal status.
This latest ruling adds a major religious dimension to the ongoing debate around crypto investment in the country.
