What happened: According to Indonesia’s council of religious authorities, Muslims are prohibited from using crypto assets as a form of cash.
Details : The National Ulema Council has declared crypto currency haram, or forbidden, since it has aspects of uncertainty, wagering, and injury, according to Asrorun Niam Sholeh, head of the council. He stated that crypto currencies as a commodity or digital asset can be exchanged if it adheres to Shariah teachings and provides a demonstrable advantage. MUI is the Shariah compliance authority of the world’s most populous Muslim country, with the finance ministry and central bank advising them on Islamic finance matters.
More: The government has backed crypto assets, allowing them to be traded alongside commodities futures as an investment alternative and pushing for the establishment of a crypto-focused exchange by the end of the year. While the MUI ruling does not rule out the possibility of all crypto currency trading in Indonesia, it may discourage Muslims from investing in the assets and cause local institutions to reconsider issuing crypto assets.