The chief mufti of the country ruled that bitcoin “is forbidden by Islam.”
The chief mufti of Egypt Sheikh Shavki Allam issued a fatwa prohibiting trade in crypto currency, and ruled that bitcoin “is prohibited by Islam, since it is associated with fraud, deceit and ignorance,” Ahram Online reported. Fatwa is a legal position on the issue formulated by representatives of the Muslim clergy. It has no legal force, but it has a great influence on believers.
Having mentioned in his speech that bitcoin does not obey the financial supervisory authorities, Allam said that his fatwa was issued after consulting with several experts on economics. He also stressed that bitcoin represents for the country “currency risk, as its high profit potential undermines Egypt’s ability to maintain and stabilize its own currency.” In August 2017 in Egypt, the first trading platform for bitcoins was opened, but in December the country’s authorities declared the Crypto-currency outlawed.