Is yield farming halal. Where user X put coin A & B into a liquidity pool C.
Is yield farming halal @Mufti_Faraz_Adam @Mufti Sep 7, 2021 · Yield farming crypto halal. Meanwhile, yield farming Jun 11, 2025 · Yield farming are techniques used in decentralized finance (DeFi) to maximise returns through providing liquidity, staking and lending. Oct 27, 2025 · Yield farming in cryptocurrency may be considered halal when it follows the core principles of Sharia, such as avoiding riba (interest), limiting excessive uncertainty (gharar), and ensuring that only halal assets are involved. Is Yield Farming Halal or Haram? The debate concerning the Halal compliance of yield farming is intricate, given its interface with Islamic financial principles such as the forbiddance of riba (interest), gharar (uncertainty), and maysir (gambling). Yield farming is a technique in which individuals preserve crypto assets and lend them to other users to earn crypto assets in exchange. So, if you are curious enough to know more about liquidity mining and whether or not it is permissible in Islam, then this article is for you. Some scholars view this structure as problematic, likening it to riba, which is strictly prohibited in Islam. One) in your chrome browser go to (increase your listings. According to CoinMarketCap data, the total locked value of liquidity pools in yield farming projects exceeded $13 billion as of 10th March 2021 (note that the statistics are constantly updated)6. 5 days ago · The debate over whether halal chicken is better than regular chicken often centers on ethical, health, and taste considerations. See full list on islamandbitcoin. For instance, earning returns through staking on proof-of-stake networks or by supplying liquidity to decentralized exchanges—where profits come from shared trading So what is halal for a Muslim? Let’s set aside the terms “yield farming”, “liquidity mining”, “staking” and “lending” and just look at how you will be remunerated as an investor: 1. Logging up your funds into a contract to generate interest is not permissible. Oct 14, 2021 · We have talked about yield farming in the previous article. Halal chicken is prepared according to Islamic dietary laws, which require the animal to be slaughtered humanely with a single, precise cut to the jugular vein, while invoking the name of Allah. However, yield farming through staking and liquidity provision, such as ISLM pools on Sushi. In return, these exchanges take a small percentage of all trades on their platform and return it to the investors. @Mufti_Faraz_Adam @Mufti Yield Rankings on DefiLlama. What do these terms mean? How should a Muslim understand them? How should y Sep 2, 2020 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. So in conclusion, yield is an umbrella term which under interest can show up. Oct 20, 2023 · Therefore, yields earned from such projects are haram. Nov 5, 2024 · Yield farming creates a form of income similar to interest, as rewards are earned by simply holding capital rather than engaging in productive or trade-based activities. The clarity for muslim purchasers may stimulate additional demand for ether. These terms often surface in discussions surrounding passive income opportunities in the crypto space. @Mufti_Faraz_Adam @Mufti Jul 13, 2024 · Keabsahan Underlying Assets: Keputusan halal atau haram dalam yield farming juga dapat dipengaruhi oleh keabsahan underlying assets yang digunakan. Plus, Yield farming and staking are two common ways to earn yields from your crypto holdings. Yield farming is a process of lending or locking your crypto assets to earn rewards, while staking is a Jul 26, 2024 · Yield farming. Generally, liquidity mining is permissible whilst yield farming can be problematic, especially when its underlying mechanics are lending money for interest. As in the top 50 IFG Crypto List, it is considered Halal but since Binance now largely offers yeild farming (which is considered not permissible as per the post i read in ifg forum). It seems similar to yield farming but actually, it is not. We highly recommend a good thorough read of this guide if you are serious about earning on your crypto. Sep 30, 2020 · There was another topic where mufti replied (Crypto Question: Yield Farming - #4 by sal) and I would like to elaborate on it. Liquidity providers; investors can undertake yield farming by supplying coins and tokens to a decentralized exchange through a liquidity provider. This video describes the technical and slightly the Jul 30, 2025 · Is crypto staking halal? Learn how staking works, what Islamic scholars say, and which halal options offer the best returns. Do you guys agree that this shared yield from "impermissible" income makes your own yield impressible as well? 3 likes, 0 comments - halaltradexpert on May 12, 2024: " Is Yield Farming Halal There isn’t a one-size-fits-all answer, as it largely depends on the mechanics of the specific farming protocol. Is staking halal or haram? It can be, yes. Jan 8, 2025 · This article will explore where different scholars from around the world stand on cryptocurrencies, whether bitcoin is halal or it is permissible for Muslims to engage in crypto trading, lending, borrowing, and yield farming, among others. The most common yield farming is liquidity farming. Simply put, the activity is like saving money in the bank, and you will get the benefit, which is an "interest. But what about the different methods of yield farming? When can they be considered halal? As long as your funds are being put to work for supporting essential functions on a crypto network, the rewards you earn on them are Halal. DefiLlama is committed to providing accurate data without ads or sponsored content, as well as transparency. They're basically smart contracts that generate interest. Defi, Yield Farming, Staking & Liquidity Mining | Islamic Perspective? 1. com Explore the mechanics of crypto yield farming and its alignment with Sharia principles. @Mufti_Faraz_Adam @Mufti 2 days ago · The DeFi staking vs. 3. Islamic Perspectives on Liquidity Mining Islamic scholars have differing opinions about the 2 days ago · Discover if cryptocurrency is halal or haram in Islam. Sep 28, 2021 · In this video we dig deep into yield farming, staking, liquidity mining and DeFi. The review by brother mufti here (crypto question: Ethereum’s compliance with sharia law has been contemplated for some time. Farming in lending protocols where returns are considered interest is haram. Feb 21, 2021 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. Explore Islamic finance principles, fatwas, and Shariah compliance tips to guide your decisions. Pools by APY, TVL, and other metrics on all chains. Apr 1, 2021 · After a lot of discussions on Yield Farming, Liquidity Mining and DeFi being Halal or not, I decided to make a video that explains it further. Basically it's a form of staking or lending your crypto assets in order to generate higher returns. Sep 1, 2025 · Liquidity mining and yield farming are more technically sophisticated ways of earning money through crypto, we cover whether they are halal here. " May 8, 2021 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. May 18, 2023 · Staking, Liquidity Mining, and Yield Farming: Understanding the Differences Delving into the world of decentralized finance (DeFi), it’s crucial to grasp the distinctions between staking, liquidity mining, and yield farming. @Mufti_Faraz_Adam @Mufti_Billal Bot VerificationVerifying that you are not a robot Is Yield farming halal or haram? Are liquidity pools haram? The Complete Guide to Yield Farming, Learn about liquidity mining, staking and Halal status. Where user X put coin A & B into a liquidity pool C. Oct 14, 2021 · Is it Halal? There are many different ways of doing yield farming. Gain insights into whether this practice adheres to Islamic financial guidelines. @Mufti_Faraz_Adam @Mufti Apr 9, 2021 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. Jika underlying assets yang digunakan dalam yield farming tidak sesuai dengan prinsip-prinsip syariah, maka kegiatan ini dapat dianggap haram. There are different terms such as yield farming, liquidity mining, lending, staking, yield farming and they all have different technical meanings. May 24, 2025 · There are other forms of yield that can be halal, this is only what comes to mind now. com, is deemed halal because it Understanding Liquidity Mining in Islamic Finance Liquidity mining, also known as yield farming, is a popular practice in decentralized finance (DeFi) where users provide cryptocurrency to a liquidity pool and earn rewards in return. These rewards typically come in the form of additional tokens. yield farming comparison is based on similarities, as both refer to users depositing their tokens in exchange for passive income from a protocol. Binance’s In this episode Mufti Billal Omarjee gives a MASTERCLASS on the different types of yield farming, liquidity pools and what makes them halal or haraam. This pool will be used for user Y to trade coin A into coin B or vice versa. Is it halal? First let's see what is yield farming. The Halal Perspective on Yield Farming The concept of halal refers to what is permissible in Islamic law. S12 Blockchain and Money, Fall 2018 Is Bitcoin / Cryptocurrency halal in Islamic point of view? Halal defi yields. May 8, 2021 · Yield Farming with Crypto on Binance? | An Islamic Guide - IslamicFinanceGuru — Islamic Finance Guru Crypto Staking – The Islamic Perspective + Investing options - IslamicFinanceGuru — Islamic Finance Guru webloupe_webloupe 6 October 2021 14:04 24 Assalamu alaykoum, Thank you, Sir for your answer, but what do you think about buying and selling monies from platforms that do yeld farming What is impermeant loss? Is yield farming risky? Is yield farming profitable? Is yield farming halal? The idea is simple: because ethereum yield is derived from transactions that involve interest, gambling, or other forms of Haram (not religiously allowed) transactions, it makes all yield Haram as well. As per my knowledge, Basic method of sharia screening is to identify core operations of the coin/tokens. Mar 20, 2025 · Is DeFi halal? Uncover the answer in our comprehensive guide on decentralized finance and its compatibility with Islamic principles. Advocates argue that this method minimizes stress and pain for the Jan 25, 2022 · When I first heard about yield farming, I automatically jumped the gun and assumed that it is haram (Islamically prohibited) as it seems nothing more than earning interest on your savings account Mar 2, 2021 · Salam @Mufti_Billal @Mufti_Faraz_Adam, I have a very important question with regard to BNB coin. Therefore you need to stay away from yield Dec 17, 2020 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. Get money for being a broker You get remunerated because you provide liquidity to an Automated Market Maker (“AMM”) such as Uniswap or Pancake. However, in DeFi staking, the assets may be locked through a smart contract or used to secure the network. In today’s article, we will talk about liquidity mining. Get Musaffa Premium Now What is Liquidity Mining? Firstly, let’s get to Feb 8, 2021 · Would it be ok to just trade these yield farming tokens for profit instead of borrowing or lending them? In othet words can i buy tokens /coins on binance spot market and trade but dont involve in yield farming? alsi please guide is crypto staking halal or haram? please i am in hard need of these answers please guide. As such, a halal perspective on yield farming considers whether or not it conforms to Islamic principles. Introduction for 15. . qv1j lle wd5br h0yfsuvh be8yy npw8 98 1jux qmrc1a hcum