Shariah Status of Digital Currency: An Exploratory and Analytical Study in the Light of Islamic Jurisprudence ڈیجیٹل کرنسی کی شرعی حیثیت: اسلامی فقہی کی روشنی میں تحقیقی و تجزیاتی مطالعہ

Abstract

In the landscape of global finance, the important role played by central and state banks cannot be overstated, especially in promoting digital currency and Islamic finance. As the world moves towards digitalization, central banks are emerging as key architects in shaping the pace of the financial system. At the same time, the principles of Islamic finance, which are rooted in ethics and Sharia, have gained importance, contributing to a more inclusive and sustainable financial system. This convergence of digital currency and Islamic finance emphasizes the need for financial institutions, both at the central and state levels, to identify complexities and implement principles that are compatible with emerging economic scenarios. The global financial landscape is undergoing a profound transformation characterized by the growing importance of digital currency and Islamic financial principles. Central and state banks, as custodians of the financial system, find themselves at the forefront of driving this evolution. The purpose of this study is to clarify the key responsibilities of central and state banks globally in the context of promoting digital currency and facilitating Islamic finance. By scrutinizing the strategies employed by these financial institutions, the ways in which they use emerging technologies and complex principles of ethical financial frameworks. Digital currencies by central and state banks including the integration of Islamic financial principles into their financial framework, along with the diverse methods used to promote. The aim of the study is to identify successful strategies, potential barriers and opportunities for synergy between these two sectors. Ultimately, the research aims to provide valuable information that helps policymakers, financial institutions, and stakeholders adapt to the changing landscape of global finance, promote innovation, and promote financial inclusion by adopting ethical financial practices.

KEYWORDS: Digital, Currencies, Financial, Institutions, Promote, Innovation, Adopting.