is staking with APY and re invest or auto invest in houbi earn is halal?
Thanvir Changed status to publish January 28, 2024
I dont know about Houbi Earn spicifically, but I can give you a general opinion on staking having assessed almost 200 different coins being staked. Some 95% of them were considered permissable and in line with sharia screening. The 5% odd that didnt make the cut were things like AAVE, AMP, ANKR, IDEX, LINA etc. Cryptocurrencies that were clearly involved in some form of lending or riba where there was a direct connection to staking rewards.
Hope this helps, but as a general rule staking is not haram. You need to review the underlying asset and if the reward generation/ creation involves some form of interest/ riba.
Allah's Servant Edited comment June 12, 2024
@Ayah I have a general question, if we ignore the investing or staking aspect – what is the permissibility of using a token otherwise. For example
1. Ankr is impermissible as you said, is it impermissible to use Ankr platform’s another product which is the web3 API (https://www.ankr.com/remote-procedure-call/) – it is something used by software developers to make apps (apps can be both permissible, impermissible).
2. What is the permissibility of using such tokens for transactions, lets say you buy some LINA, you never stake it and then you use it to do something on blockchain.
Jazak Allah