фото показано с : blokt.com

The Reuters reported on Nov. 12th that X8 AG, a Swiss fintech company received Islamic finance certification for its stablecoin built on the Ethereum blockchain protocol.

The firm was certified by the Shariyah Review Bureau (SRB), a respected Sharia consultancy and audit firm with a foothold in 12 countries including a license from Bahrain’s central bank. The certification will allow the crypto firm to expand into the Middle East territory which seems ready to welcome new financial firms.

As part of its expansion plans, X8 AG is planning to launch a Sharia-compliant trading platform. It is reported that the firm has held discussions with exchanges in Abu Dhabi, Dubai, and Bahrain.

Francesca Greco, the co-founder, and director of X8 says that their stablecoin is backed by eight fiat currencies and gold and is insulated from excessive volatility and speculation. The Islamic financial laws prohibit monetary speculation, charging interest on loans, and unclear & unambiguous transactions.

Greco said that the Gulf region is conducive for fintech development because of its desire to become a financial hub. “The Gulf region is a really good place for financial technology companies, because they all want to become hubs for fintech,” remarked Greco. She added that her firm would set up a regional office before the end of November.

Several fintech firms are racing towards building technologies that are compliant with Sharia laws as financial regulators are playing their part in attracting new businesses and encouraging innovation.

Over the past few years, cryptocurrencies have polarized scholars who have had different views on how digital assets should be categorized under religious principles that forbid monetary speculation. The debate may not be as heated as it used to be as many of them compare the trading of cryptocurrencies to the transfer of rights, which is allowed in Islam.

Stellar received its Sharia compliance certificate in July and claimed to be the first blockchain protocol to do so. Lisa Nestor, the director of partnership at Stellar said that seeking sharia-compliance certification has helped the company to explore partnerships with financial companies based in the Gulf region. Nestor said:

“We have been looking to work with companies that facilitate remittances, including in the United Arab Emirates, Saudi Arabia, and Bahrain. It’s a huge market.”

The Middle East has previously been a difficult region for cryptocurrencies after crypto trading was banned in some countries. However, the region is changing its stance and wants to position itself as a blockchain powerhouse.

Bahrain has taken a positive approach, and the central bank created a regulatory sandbox in 2017. The state is even willing to explore blockchain technology. The country’s minister of electricity and water affairs, Abdulhussain Mirza was quoted as saying:

“Technologies such as blockchain take us a huge step forward in finding a secure way to facilitate transactions.”

Turkey, Iran, the United Arab Emirates, and Israel have taken a positive approach to both cryptocurrencies and blockchain technology. Lebanon, Kuwait, and Iraq are against both blockchain and cryptocurrencies. Qatar, Saudi Arabia, Egypt, Cyprus, Oman, Palestine, and Jordan have embraced either blockchain technology or cryptocurrencies but not both.

Switzerland: Cryptocurrency Firm X8 AG Obtains Sharia Compliance Certificate was originally found on [blokt] - Blockchain, Bitcoin & Cryptocurrency News.

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