Fasset: NuBank for Halal Banking, Merging Stablecoins and Shariah

Fasset has secured a provisional license from Malaysia's Labuan Financial Services Authority (FSA) to operate as the world's first stablecoin-powered Islamic digital bank. The license, issued within a regulated sandbox for Islamic fintech innovation, allows the Dubai-headquartered firm to offer Shariah-compliant deposit-taking services, cross-border payments, and zero-interest banking. The approval marks a strategic expansion for Fasset, which serves 500,000 users across 125 countries and already holds licenses in the United Arab Emirates, Indonesia, Turkey, and the European UnionFasset Approved to Launch Stablecoin-Powered Islamic Digital Bank^[1].

The Islamic digital bank model aligns with Fasset's broader mission to address gaps in financial inclusion within the $5 trillion global Islamic finance industry. CEO Mohammad Raafi Hossain emphasized the platform's ability to merge the credibility of traditional banking with the innovation of fintech, stating that the new license enables Fasset to provide asset-backed financial services on-chain while adhering to Shariah principles, which prohibit interest (riba) and excessive risk (gharar). The firm aims to replicate the success of NuBank in Latin America but for underserved markets in Asia and AfricaFasset secures provisional banking license to become world’s first …^[2].

Fasset's services will leverage stablecoin infrastructure to mitigate currency volatility and inflation risks. Users will access Shariah-compliant savings, investments in U.S. stocks, gold, and crypto, and a planned crypto debit card for global spending via Visa, Google Pay, and Apple Pay. The company also announced "Own," an Ethereum Layer 2 network built on Arbitrum, to settle real-world assets from regulated institutions. This expansion follows Fasset's existing $6 billion in annualized transaction volume and projections of reaching $24 billion by 2026Fasset Wins Malaysia License to Launch First Stablecoin-Based …^[3].

The Labuan FSA license permits Fasset to operate within the Labuan International Business and Financial Centre (IBFC), a regulated offshore hub in Malaysia. However, it does not equate to a full digital banking license from Bank Negara Malaysia. The firm's approach to Islamic finance includes collateralized loans, asset-backed financing, and yield-generating products, targeting demographics in Muslim-majority regions where access to halal financial tools remains limitedFasset Secures Malaysia Banking License to Launch World’s First ...^[4].

Fasset's entry into Islamic digital banking reflects broader trends in stablecoin adoption for cross-border payments, where blockchain technology reduces costs and settlement times. The firm's strategy aligns with global efforts to modernize financial infrastructure, particularly in regions where traditional banking systems struggle to meet demand. With plans to expand into everyday banking services and institutional partnerships, Fasset positions itself at the intersection of crypto, fintech, and faith-based financeLayer 2 Payments in 2025 – Stablecoins, Base’s Rise, and ETH’s …^[5].