IOTA Token Achieves Shari’a Compliance, Certified by Cambridge Institute
Timothy Morano Aug 06, 2024 21:42
IOTA Token has been certified as Shari’a-compliant by the Cambridge Institute of Islamic Finance, enhancing trust and growth in the Middle East.
The IOTA Token has been certified as Shari’a-compliant by the Cambridge Institute of Islamic Finance, according to a recent announcement by the IOTA Ecosystem DLT Foundation. This certification ensures the token adheres to Islamic principles and legal requirements, fostering trust and growth in the Middle East and globally.
Shari’a Compliance: Aligning with Islamic Principles
In the UAE and the wider Middle East, compliance with Shari’a law is crucial. Shari’a law is a system of Islamic principles and guidelines derived from the Qur’an and Hadith, governing the moral, social, and legal aspects of Muslim life. Recognizing this, the IOTA Ecosystem DLT Foundation has ensured that its processes, procedures, and offerings are Shari’a-compliant.
The certification, dated July 15, 2024, confirms that the IOTA Token meets all generally accepted Shari’a requirements. The Shari’a Assessment Report from the Cambridge Institute of Islamic Finance verifies that IOTA is a Shari’a-compliant utility token, based on principles and standards practiced in the Islamic financial services industry. The official certificate can be viewed here.
Shari’a Obligations and Requirements
Achieving Shari’a compliance entails several ongoing obligations, including:
- Adhering to generally accepted Shari’a principles for conducting business.
- Maintaining a Shari’a supervision function to ensure continuous compliance with Shari’a rules.
To meet these obligations, a Shari’a Governance Framework (SGF) for the IOTA Token has been established. The Cambridge Institute of Islamic Finance will act as an external independent Shari’a Advisor, conducting annual reviews to ensure ongoing compliance with Shari’a requirements.
Ensuring Global Trust
The certification of the IOTA Token as Shari’a-compliant marks a significant milestone for the IOTA Ecosystem DLT Foundation and the broader IOTA community. It underscores the foundation’s commitment to adhering to regional regulations and ethical standards. This achievement not only enhances trust among stakeholders but also aligns with the moral and legal frameworks prevalent in the Middle East, fostering long-term confidence and growth within both global and regional ecosystems.
The IOTA Ecosystem DLT Foundation, established in Abu Dhabi, United Arab Emirates, supports projects and ecosystems built on IOTA and its staging network, Shimmer. Given the increasing emphasis on compliance in the Middle East, this certification is expected to significantly bolster IOTA’s presence and reputation in the region.
For more information, visit the IOTA Ecosystem DLT Foundation.
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