Is Digibyte Halal: Is DGB Halal?
In this article we do a complete shariah screening of DigiByte: DGB cryptocurrency. From investing, trading to staking, we’ve got your halal crypto investments covered.
What is DigiByte DGB?
DigiByte is an open-source blockchain based on Bitcoin developed in 2013 and released in 2014. DigiByte deviates from Bitcoin in certain confirmation speed parameters and protocol parameters that of its developer, Jared Tate, were considered better for network decentralization and security of transactions.
The original Bitcoin protocol was adjusted to increase both confirmation speed and security when conducting transactions on the base layer. DigiByte is a modification of this design.
Further details on DigiByte website
Is Digibyte Halal: Is DGB Halal? We’d Love to Hear Your Thoughts
Sharing the collective wisdom of thousands of Muslim crypto traders and investors.
DigiByte Technology
DigiByte’s main developers adopted different algorithms (compared to Bitcoin’s single algorithm) to make protocol security stronger, and DigiByte confirmations take a few seconds, on average. New blocks are added to the blockchain every 15 seconds on average. Four hard forks have occurred on the DigiByte blockchain.
Legitimacy Screening of DigiByte
DigiByte has a legitimate product, built using blockchain technology and has public roadmap showing its development plans. This gives us the confidence to confirm that DGB has an underlying fundamental value, that can be considered as “Mal” under Islamic rulings. Therefore, as a project it has legitimacy in terms of Shariah.
Is DigiByte project aligned with Islamic values?
Yes, DigiByte: DGB project does align with Islamic values as the project is similar to Bitcoin and not not against Islamic rulings.
Financial Screening of DGB:
Financial screening ensures that the crypto asset meets the financial criteria for Shariah compliance, if it is an equity based token. DigiByte is not backed by any equity, so there is no financial screening required on this coin/ token. Here we would typically look at things like debt to income ratio to ensure borrowing is limited to a tolerable level.
DGB Token Screening for Shariah Compliance
The token is used as a medium of exchange, just like Bitcoin to so DigiByte: DGB token is considered halal.
Is Staking DGB Halal?
At the time of assessment there is no staking DGB, but as the project is comparable to Bitcoin we believe, staking DigiByte: DGB may be Halal?
What Does The Muslim Crypto Community Think of ATOM?
Crypto Halal Office for Monitoring and Sharia auditing on cryptocurrency markets thinks DigiByte: DGB is a Halal digital asset based on its Shariah complaince screening.
Sharlife considers DigiByte: DGB as a halal cryptocurrency based on the five areas assessed for Shariah complaince screening.
If you know of other academic or scholarly views on this, please add in comments and we will update accordingly. Alternatively, you may want to join our community of Muslims crypto investors and traders, to share, learn and profit from halal digital assets.
Is DigiByte Halal: Is DGB Halal?
Yes, DigiByte: DGB is Halal as its operates as a store of value, much like Bitcoin. All of the features of DigiByte’s network have been reviewed and nothing questionable was found to raise any concerns about this project being against Shariah guidelines.
We hope you found this useful. Please view our Halal Crypto List to find suitable digital asset investments, without compromising your Islamic faith.
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