Criteria for identifying halal cryptocurrencies
Before delving into details, it is important to understand the criteria that make a cryptocurrency compliant with Islamic law:
Free from usurious interest: the currency should not rely on interest or lending with interest, as seen in some DeFi projects.
Not used in prohibited activities: the cryptocurrency must be free from any prohibited financial activities such as gambling or betting.
Provides transparency and clarity: the project must be clear in its goals and operations, avoiding uncertainty or fraud.
Real value: the currency should be backed by a project that provides real value and is not just speculation.
The best halal cryptocurrencies for investment in 2025
1. Bitcoin (Bitcoin - $BTC )
Why it is considered halal:
Does not rely on usurious interest or suspicious financing
A decentralized monetary system that allows direct transactions without intermediaries
Limited supply (21 million units) which prevents inflation
Suitable entry point:
When the price corrects to key support levels between $85,000-90,000
After corrections following major rises
Suitable exit point:
When the price reaches the levels of $130,000-150,000
When signs of excessive fear appear in the market
At historical resistance levels
Forecasts for 2025: Bitcoin is expected to reach new all-time highs, especially after the inauguration of U.S. President Trump, who promised to make America the 'capital of cryptocurrencies'.
2. Ethereum (Ethereum - $ETH )
Why it is considered halal:
Can be used in decentralized applications away from interest-based lending mechanisms
Provides an integrated environment for developers without the need for intermediaries
Supports direct instant transactions
Suitable entry point:
When the price drops to the range of $2,000-2,200
When completing major technical correction cycles
Suitable exit point:
When the price reaches levels of $4,000-5,000
In case of serious technical issues in the network
When reversal patterns appear in charts
Legal warning: Be aware that some applications built on Ethereum rely on interest-based lending, so it is advised not to use ETH in these particular applications.
3. Solana (Solana - $SOL )
Why it is considered halal:
Provides fast transactions with low fees
Does not include usurious mechanisms in its core structure
Supports direct spot trading
Suitable entry point:
When the price drops to the range of $180-200
After correction periods following a strong rise
Suitable exit point:
When the price reaches the levels of $400-450
When there are repeated network interruptions
When stronger technical competitors emerge
4. Binance Coin (Binance Coin - #BNB )
Why it is considered halal:
Used to facilitate spot trading operations
Its primary use is not linked to usurious mechanisms
Supports transparent direct transactions
Suitable entry point:
When the price drops to the range of $450-500
When forming reversal patterns at key support levels
Suitable exit point:
When the price reaches the levels of $750-800
In case Binance faces new regulatory issues
When the platform's usage significantly declines
Legal warning: Avoid using BNB in Binance products that offer interest such as 'Binance Lending'.
5. Solaxy (Solaxy - #solx )
Why it is considered halal:
A project focused on providing sustainable solutions
Based on a financing model built on clear assets
Not used in gambling or prohibited speculation activities
Suitable entry point:
At the pre-sale stage (currently priced at $0.001658)
After the initial listing at the first significant price correction
Suitable exit point:
When achieving a multiple of 3-5 times the initial listing price
In case of delays in executing the roadmap
If competition emerges
Strong competitors offering similar solutions
6. Bitcoin Bull (#BTCBUL - BTCBULL)
Why it is considered halal:
Digital token linked to Bitcoin
Based on direct trading without conflicting financial mechanisms
Does not use prohibited leverage
Suitable entry point:
During the current pre-sale phase
After listing at the first significant price correction
Suitable exit point:
When Bitcoin rises to new all-time highs (e.g., $150,000)
When achieving the main roadmap objectives
In the event of a radical change in the policies of the developing company
Strategies for trading according to Sharia rules
1. Spot Trading
Legal compliance: spot trading is considered compliant with Islamic law as long as the value is paid in full without delay.
Advice: Only use money that you can afford to lose.
Risk limits: Do not risk more than 5% of your investment portfolio on a single trade.
2. Identifying entry and exit points
Use technical analysis: Use indicators like RSI (Relative Strength Index) to identify oversold areas (below 30 - buying opportunities) and overbought areas (above 70 - selling opportunities).
Support and resistance levels: Identify key support levels (buy points) and resistance levels (sell points).
Use moving averages: When the short-term moving average crosses above the long-term moving average, it can be considered a buy signal.
3. Risk management according to Sharia rules
Avoid excessive speculation: Do not trade too frequently daily and avoid excessive speculation that resembles gambling.
Diversify investments: Spread your investments across different Sharia-compliant cryptocurrencies.
Set realistic goals: Define reasonable profit targets (15-20% annually) and avoid greed.
Avoid margin trading: Steer clear of margin trading or leverage as they involve interest-bearing loans.
Currencies to avoid from a legal perspective
Currencies linked to usurious lending systems: such as some DeFi projects that offer interest on deposits.
Currencies linked to gambling: such as currencies connected to betting platforms or games of chance.
Currencies with unclear structures: those that do not provide sufficient information about their project and team.
Purely speculative meme coins: those that do not provide real value and rely solely on speculation.
Conclusion
Investing in cryptocurrencies can be compliant with Islamic law if the right currencies are chosen and if the legal rules of trading are adhered to. Cryptocurrencies like Bitcoin, Ethereum, Solana, and Binance Coin, along with emerging projects like Solaxy and Bitcoin Bull, offer promising investment opportunities compliant with Sharia in 2025.
Always remember to do your own research and consult with experts, whether in the legal or financial aspect, before making any investment decisions. Also, be aware that the cryptocurrency market is inherently volatile, so it is essential to adhere to risk management and avoid greed and excessive speculation.