Binance Launches Sharia-Compliant Crypto Staking Service, Tapping $4T Islamic Finance Market

Binance introduces Sharia Earn, the world's first Sharia-compliant crypto staking service, aiming to tap into the $4 trillion Islamic finance sector. The platform, certified by Amanie Advisors, enables individuals in over 30 countries to earn returns on BNB, ETH, and SOL through staking products designed to adhere to Islamic halal rules and ethics. The offering utilizes a Sharia-approved contractual structure and institutional-grade design, testing how DeFi platforms can localize offerings without sacrificing decentralization or yield potential.

Binance, the leading global blockchain ecosystem and cryptocurrency exchange, has made a significant stride in the financial sector by introducing Sharia Earn, a groundbreaking product designed to align with Islamic principles. Certified by Amanie Advisors, a globally recognized Sharia advisory firm, Sharia Earn is the first multi-token staking service that meets the stringent criteria of Islamic finance, opening new opportunities for halal investing globally [1].

The Islamic finance market, valued at over $4 trillion, has long been a significant untapped market due to the ambiguity surrounding religious compliance. Sharia Earn addresses this gap by offering a transparent and values-driven way for the global Muslim community to earn passive income in crypto [1]. This innovative product is Binance’s first entry into Islamic finance, reflecting a commitment to innovation that respects cultural and spiritual values.

Sharia Earn is built on the existing technology from Binance Earn’s BNB Locked Products, ETH Staking, and SOL Staking, with all mechanics reviewed by Sharia scholars to ensure compliance. The platform allows users to earn yield within the parameters of Sharia-compliant products, which have been developed in alignment with faith-based principles [2].

The platform initially supports BNB, ETH, and SOL, and is available in over 30 countries, including Afghanistan, Bangladesh, Egypt, Indonesia, Maldives, Morocco, Nepal, India, Pakistan, Palestine, Qatar, Saudi Arabia, Sri Lanka, Turkey, and the United Arab Emirates [1][2]. The Sharia-compliant nature of the platform ensures that all deployed funds are channeled into ventures and assets that are halal (permissible) under Islamic law [1].

Binance CEO Richard Teng underscored the significance of Sharia Earn, stating, “Our mission has always been to create an inclusive and transparent trading environment. With this product, we’re empowering the Muslim community and Sharia-focused investors to participate in one of the most exciting financial revolutions of our time. This is more than a product – it’s a movement toward a more principled and equitable digital economy that promotes financial freedom for all” [1].

Sharia Earn exemplifies the convergence of Islamic finance and blockchain technology. While crypto challenges traditional finance through decentralization, Islamic finance challenges it through halal guidelines, such as risk sharing, wealth circulation, prohibition of interest (riba), and excessive uncertainty (gharar) [2].

The launch of Sharia Earn coincides with Binance's ongoing efforts to expand its market reach and innovation. The platform is a testament to Binance’s commitment to inclusivity and ethical finance, demonstrating how DeFi platforms can localize offerings without sacrificing decentralization or yield potential [1][2][3].

References:
[1] https://ffnews.com/newsarticle/cryptocurrency/binance-sharia-earn-halal-crypto-staking/
[2] https://cryptonews.com/news/binance-reveals-sharia-compliant-multi-token-staking/
[3] https://finance.yahoo.com/news/binance-taps-4t-market-first-212625285.html