Cryptocurrency Q&A
Is using leverage halal?
Is using leverage halal?
JejuSunshineSoul
Tue Mar 25 2025
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7
answers
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I want to understand if employing leverage, which is borrowing funds to increase the potential return of investments, is considered permissible or halal according to religious teachings.
7 answers
noah_wright_author
Thu Mar 27 2025
Islamic scholars often engage in discussions concerning the permissibility of leverage in financial transactions.
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SolitudePulse
Thu Mar 27 2025
A prevalent argument among them is that leverage can introduce excessive risk and uncertainty.
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Elena
Thu Mar 27 2025
This heightened level of risk is perceived as potentially making such transactions haram, or forbidden, in Islamic law.
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EthereumEmpress
Thu Mar 27 2025
Conversely, some Islamic financial institutions have developed leverage options that are structured differently.
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Nicolo
Wed Mar 26 2025
These options are designed to avoid the inclusion of interest, which is prohibited in Islamic finance.
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