Algorand Foundation, the organization in charge of the Algorand (ALGO) distributed ledger technology (DLT) project has been certified Sharia-compliant by the Shariya Review Bureau (SRB). With the Shariah certification, Islamic institutions will now be able to adopt Algorand (ALGO), reports Zawya on October 21, 2019.
Algorand Bags Shariah Certification
Algorand (ALGO) the 52nd-largest blockchain project in the world, has joined the growing list of DLT projects accredited by the Shariya Review Bureau (SRB), a leading Shariah advisor that reviews investment schemes to find out whether they operate in compliance with Islamic laws or not.
According to a press release by the Algorand Foundation, the Sharia certification opens up the Algorand network to Islamic institutions looking to integrate blockchain technology into their processes and leverage it for economic activities and more.
What’s more, the Algorand Foundation has made it clear that despite getting the seal of approval of the Islamic authority, the Algorand team will keep collaborating with the SRB to properly review the decentralized applications (dApps) built on the Algorand distributed ledger, to ensure each of them remains Shariah-compliant.
Algorand Halal Enough
According to the Islamic doctrine, a Shariah-compliant investment vehicle is one that has intrinsic value, it is backed by a tangible asset or commodity that has real value, among other strict requirements.
For Algorand to be certified Shariah-compliant it simply means the platform meets the high standards set by the Islamic authorities. Commenting on the exciting development, Yasser S. Dahlawi, Founder and CEO of SRB noted that:
“We are thrilled by the technical achievement of the Algorand network and a future of highly scalable and secure blockchain that will help Islamic financial markets to enter the emerging borderless economy.”
Yasser also hinted that the SRB will assist Islamic startups interested in building their financial solution on Algorand with the expertise needed to attain Sharia compliance.
Created by Silvio Micali, one of the pioneers of cryptography, the primary objective of the Algorand blockchain project is to promote scalability, security and decentralization. Algorand reaches consensus via a pure proof-of-stake consensus algorithm.
At press time, the price of Algorand (ALGO) sits at $0.226006, with a market cap and 24-hour trading volume of $94.85 million and $101.02 million, as seen on CoinMarketCap.