Binance
First: Criteria for prohibiting digital currencies from a legal perspective
Based on the opinions of contemporary scholars and jurists, digital currency is considered impermissible in the following cases:
Currencies linked to forbidden activities: If the primary purpose of the currency is to support forbidden activities such as gambling, pornography, drugs, alcohol, or any other forbidden activity.
Currencies that rely on usurious transactions: Currencies that include interest or offer rewards through decentralized finance (DeFi) products that contain interest.
Currencies based on uncertainty and ignorance: Currencies that rely on unclear mechanisms or involve excessive uncalculated risks.
Currencies used in illegal activities: Currencies that facilitate money laundering or circumvent laws.
Second: List of impermissible currencies traded on Binance
Based on the previous criteria, impermissible currencies on the Binance platform can be classified as follows:
1. Gambling and betting currencies
WINkLink (WIN): A currency that supports online betting and gambling platforms.
TronBet/ANTE: A currency used on online gambling platforms.
FunFair (FUN): A currency dedicated to online casino platforms.
Wagerr (WGR): A currency used in sports betting.
2. Currencies linked to pornography and adult entertainment
PornRocket: A currency dedicated to supporting adult content platforms.
SexCoin (SEX): A currency linked to the adult entertainment industry.
SpankChain: A currency used to finance live streaming platforms for adult content.
3. Currencies associated with drugs and forbidden substances
PotCoin (POT): A currency associated with marijuana trade.
CannabisCoin (CANN): A currency associated with cannabis products.
DopeCoin (DOPE): A currency dedicated to financing drug trade.
4. Currencies associated with alcoholic beverages
BoozeToken (BOOZE): A currency associated with alcoholic products.
AlcoCoin (ALCO): A currency that supports the alcohol industry.
5. Currencies that rely on usurious mechanisms
Aave (AAVE): Although the project is technically beneficial, it uses interest lending mechanisms.
Compound (COMP): Provides lending and borrowing services with usurious interest.
Maker (MKR): Relies on a financial system that includes interest.
6. Currencies with excessive uncertainty
Shiba Inu (SHIB): Classified by some scholars as impermissible because it relies on promotion and excessive speculation without a strong real project.
Dogecoin (DOGE): Started as a meme currency and spread due to promotion rather than real value.
Third: How to avoid dealing with impermissible currencies on Binance
Research before investing: Check the primary purpose of the currency and its project through the white paper.
Understanding the basics of the project: Research the currency project and its practical applications and whether it supports forbidden activities.
Avoid Binance products that involve interest: Avoid using services such as:
Binance Earn: Offers interest on deposits.
Binance Futures: Involves margin trading with interest.
Binance Margin Trading: Relies on lending with interest.
Commitment to direct spot trading: Buy and sell currencies directly without using leverage or margin.
Consulting specialized scholars: In case of doubt, be sure to consult experts in contemporary financial transaction jurisprudence.
Fourth: Halal alternatives on the Binance platform
Binance offers many currencies that are considered halal according to legal standards, such as:
Bitcoin (BTC): If used for spot trading and not with leverage.
Ethereum (ETH): When used for direct trading without interest.
Digital Dollar (USDT): When used as a substitute for the dollar in transactions.
Cardano (ADA): A project focused on blockchain development and its applications.
XRP (Ripple): Used to facilitate global payments and transfers.
Binance Coin (BNB): The primary platform currency, if used for direct trading.
Solana (SOL): A platform for decentralized applications.
Summary
When trading on the Binance platform, avoid impermissible currencies that fall under the previous categories, specifically:
Currencies associated with gambling and betting (such as WIN, FUN)
Currencies associated with pornographic content (such as PORNROCKET, SEXCOIN)
Currencies associated with drugs and alcohol (such as POT, CANN, BOOZE)
Currencies based on usurious systems (such as AAVE, COMP)
Currencies that rely on excessive speculation and do not provide real value (such as SHIB)
You can invest in halal currencies like Bitcoin, Ethereum, Cardano, XRP, and Binance Coin, while adhering to spot trading and avoiding services that involve interest.
To ensure the safety of your investments from a legal perspective, always research and verify each currency before trading it, and only deal with currencies that have clear and transparent projects and are free from forbidden transactions.