East Java PWNU Issues Haram Fatwa Against Crypto, What About Stocks?

JAKARTA – In the midst of the boom in cryptocurrencies, the East Java Nahdlatul Ulama Regional Management (PWNU) issued an illegal statement regarding crypto. The decision was issued through a bahtsul masail which was held on Sunday, October 24 last week.

"The bahtsul masail participants have the view that although crypto has been recognized by the government as a commodity, it cannot be legalized by sharia," said Kiai Azizi Chasbullah as a mushahih as quoted from the official East Java NU website.

Azizi argues that the status of cryptocurrencies cannot be called a commodity and is not allowed. Cryptocurrencies are declared illegal because they are considered to be able to create a number of possibilities that can erase the legality of transactions.

"Based on several considerations, one of which is that there will be fraud in it, then it is considered haram," said Kiai Azizi.

In the deliberation, participants assessed that cryptocurrencies had no sharia benefits as described in fiqh books. According to the Deputy Chairperson of PWNU, KH Ahmad Fahrur Rozi, he stated that the fatwa was in accordance with the results of the agreement in Bahtsul Masail.

"Based on the results of the bahtsul masail, cryptocurrency is illegal," said KH Fahrur Rozi or who is familiarly called Gus Fahrur.

Gus Fahrur explained the reason for the issuance of an illicit fatwa against cryptocurrencies. He assessed that cryptocurrencies cannot be used as investment instruments because there is an element of speculation that can harm others.

"Because there are more elements of speculation. So it cannot be an investment instrument," he said.

Gus Fahrur also explained about the law of buying and selling that there must be a willingness. He added that what happens in cryptocurrencies is like gambling. The reason is because many people speculate and do not know what causes it.

"Buying and selling must be willing and not fraudulent. But in crypto money people are mostly clueless, people are stuck, when suddenly it goes up because of what, it goes down because of what. So it's pure speculation, like people gamble," he said.

According to him, this does not apply to stocks. He stated that cryptocurrencies and stocks were different. Because shares have ownership rights in an existing company.

"Unlike shares, shares are ownership rights in a company, and they are attached, as long as the company exists," added Gus Fahrur, who is the caretaker of the An Nur Bululawang Islamic Boarding School, Malang Regency.