HaramCoinsMaker / DAI falls under “DeFi stablecoin system”. The assessment below weighs its real use against the core prohibitions of riba, gharar and maysir.
01What it is
The protocol behind the DAI stablecoin, which uses 'stability fees' on collateralized debt.
02Why this assessment
DAI is created through interest-bearing debt positions (stability fees), which most scholars view as riba.
03The Islamic-finance lens
Any fixed or guaranteed return tied to Maker / DAI, for example interest-bearing lending or so-called savings products, resembles riba (interest), which Islam prohibits. Simply owning or spending Maker / DAI without such a mechanism does not, by itself, involve riba.
Maker / DAI aims to hold a steady value, so the key question is what backs it: if reserves sit in interest-bearing instruments that introduces a riba concern, while a fully asset-backed, interest-free model is viewed more favorably.
04Key considerations
05How to approach it
Practical takeaway: Maker / DAI raises serious concerns. A cautious Muslim may prefer to avoid it entirely; at the very least, avoid speculation, leverage, and any interest-bearing use, and do not commit money you are relying on.
06Frequently asked questions
Is Maker / DAI halal or haram?
Raises serious concerns. DAI is created through interest-bearing debt positions (stability fees), which most scholars view as riba.
Does Maker / DAI involve interest (riba)?
Maker / DAI aims to hold a steady value, so the key question is what backs it: if reserves sit in interest-bearing instruments that introduces a riba concern, while a fully asset-backed, interest-free model is viewed more favorably.
Is buying Maker / DAI considered gambling (maysir)?
Buying Maker / DAI purely to bet on short-term price swings resembles maysir (gambling). Holding it for genuine, long-term ownership of a useful asset is viewed far more favorably.
07Related assessments
This website is an educational resource, not a religious edict (fatwa). Qualified scholars differ on cryptocurrencies; the assessments here are based on widely-recognised principles of Islamic finance and are provided for learning only. Always consult a qualified scholar before making any decision, and remember that nothing here is financial advice.