Shariah Index

Our Halal Crypto Index is currently at $98k, with a 46% gain for our earliest investors.

I mentioned this to a friend this morning, who said everythings going up so is not that impresive really. I thought fair enough, this has never been a get rich quick plan so no point comparing against the performance of a handful of outliers. Instead I decided to compare against other portfolios and here is what I found.

The largest portfolio on Iconomi is something called the Blockchain Index (black line on chart), which has over $18 million invested in it and over the past 6 months has returned its investors 14.48%. Our Halal Index (green line on chart) in the same 6 month period has returned 32.03%, more than double!

If you’re still on the fence, dont wait until BTC hits $100k. You may not be in a better position then.

Crypto Ummah's Halal Index is considered "halal" due to its rigorous screening process based on Shariah guidelines. Here are the key elements that make the index halal:

Shariah Compliance Screening

1. **Robust Shariah Guidelines**: Each cryptocurrency is evaluated against comprehensive Shariah principles to determine its permissibility. This involves assessing whether the coin or project involves activities prohibited in Islam, such as interest (riba), excessive uncertainty (gharar), and gambling (maysir).

2. **Expert Review**: The screening process includes reviews by qualified Islamic scholars (muftis) who provide their opinions on the compliance of each coin with Islamic law. This ensures that the evaluations are grounded in established religious principles.

Transparency and Ethical Considerations

3. **Detailed Analysis**: For each coin listed, Crypto Ummah provides a detailed analysis explaining the reasons behind its classification as halal or haram. This transparency helps Muslim investors make informed decisions based on clear and accessible information.

4. **Avoidance of Haram Activities**: The screening process aims to identify and exclude cryptocurrencies that are involved in haram activities, such as those related to alcohol, gambling, or pork. This aligns with the broader principles of ethical investing in Islam.

Continuous Updates and Community Engagement

5. **Regular Updates**: The list of halal cryptocurrencies is regularly updated to reflect new findings and changes in the market. This ensures that the information remains current and reliable for investors.

6. **Community Feedback**: Over 40,000 users a month rely on our halal investment content, and we rely on their feedback and questions, which helps refine and improve the screening process. This community engagement ensures that the platform remains responsive to the needs and concerns of Muslim investors.

Practical Application of Islamic Finance Principles

7. **Ethical Business Practices**: The index emphasizes ethical business practices, such as avoiding deception and manipulation, which are crucial in Islamic finance. This ensures that the listed cryptocurrencies align with the ethical standards expected in Shariah-compliant investments.

By adhering to these principles and methodologies, Crypto Ummah's Halal Index provides a reliable resource for Muslim investors seeking to ensure their cryptocurrency investments are in line with Islamic law.

The crypto market experienced significant downward momentum in June 2024, with the following notable trends:

• Total market cap declined by 11.4% over the month
• Bitcoin surpassed the $63,000 mark on July 1, 2024, showing some recovery despite overall market trends
• Cryptocurrency investment products faced $30 million in outflows for the third consecutive week.
• Ethereum experienced its largest outflow since August 2022, totaling $61 million. This made it the worst-performing asset in terms of net flows year-to-date.
• The NFT market saw a sharp decline, with a 45% drop in sales volumes and a 60% reduction in the average sale price of NFTs from Q1 to Q2 2024.
• Solana-powered NFTs bucked the overall NFT trend, surpassing $5 billion in total sales.
• Some altcoins showed positive movement, with Cardano’s ADA token increasing by 4%.
• Regional differences were observed, with notable outflows from Germany and Hong Kong.

These statistics indicate a generally bearish trend in the crypto market over the past month, with some exceptions in specific cryptocurrencies and NFT sectors. The market continues to show volatility and mixed signals across different assets and regions.

Meanwhile our halal index remains relatively strong, with a decline of 13% over the past month, compared to Bitcoin’s decline of 17% over the same period.

We launched our Halal Crypto Index on the first day of Ramadan, which is a great blessing. However, it happened to coincide with the recent market peak, and Bitcoin has dropped 14.09% since then, while our Index has only gone down by 6.75%. 

A week after the launch, Bitcoin is now 5.33% down, and our index is holding strong at just 2.25% down, alhamdullilah. 

Despite a very shaky first week, our Halal Index has shown strong resilience by outperforming Bitcoin during the downturn and the recovery, so our results so far are very promising.