Mubasher: The nonprofit Stellar.org, which promotes financial access and inclusion, announced on Tuesday that it has a received Sharia compliance certification for the Stellar network, according to a recent statement.
The Shariyah Review Bureau (SRB), a leading international Sharia advisory agency licensed by the Central Bank of Bahrain (CBB), has reviewed the properties and applications of the Stellar network.
Bahrain’s SRB has broadcasted guidance and guidelines which enable Sharia-compliant applications of Stellar technology in Islamic financial institutions, the statement added.
“Stellar is the first blockchain protocol to receive Sharia compliance certification in the money transfer and asset tokenisation space. Additionally, the Sharia compliance certification extends to applications and usages of lumens (XLM),” according to the statement.
This certification will enhance develop the Stellar ecosystem in regions where financial services require compliance with Islamic financing principles.
For example, Islamic financial institutions in the GCC region, including Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE in addition to parts of Southeast Asia such as Indonesia and Malaysia.
“Stellar.org’s founding mission is to promote global financial access and inclusion through the development of the Stellar Network, a distributed, hybrid blockchain that is fully open-source. Its infrastructure facilitates cross-asset transfers of value, including payments, and provides an instant clearing, settlement, and execution platform,” according to the statement.