Muslims account for the majority of the population in about 47 countries and more, and Islam is second world’s second-largest religion with almost 2 billion followers: which is roughly about a quarter of the world’s population.
Islamic Coin is hence created to deliver and serve this part of the largest communities in the world.
Islamic Coin (ISLM) is an emerging cryptocurrency that is said to be complying with the rules of Shariah. The creators of this coin made unfounded claims saying that the coin would scale like Bitcoin (BTC) and its equivalent with a market value of $1 trillion
“We know that the adoption will happen gradually,” Mohammed Alkaff Alhashmi, cofounder of Islamic Coin, However, if only 3-4% of the Muslim online community will hold Islamic Coin, it will become a bitcoin-scale crypto asset. It will generate a trillion dollars for its holders and $100 billion for the Evergreen DAO,” he added.
Islamic Coin was launched on the Haqq blockchain in May with cofounders which include Hussein Mohammed Al Meeza, Mohammed Alkaff Alhashmi, Andrey Kuznetsov, and Alex Malkov.. In June, the token got a religious declaration, or a “Fatwa”, from Muslim leaders. This confirmed that it satisfied the religious standard that scowls upon issues such as gambling. Thus, Muslims were free to interact with the coin.
One month later, Islamic Coin raised $200 million in a private sale. This is a feat seen as remarkable in the crypto market. The token is overseen by an executive board of prominent Islamic bankers, software engineers, and scholars under the Swiss-based non-profit.
Islamic Coin Token
Mohammed Alkaff Alhashmi said ISLM is used for payments, network governance, staking, and to pay for the costs of transacting over the network. “One of the most important purposes of ISLM is to power progress and charity work,”
Islamic Coin’s supply is limited to 100 billion tokens. Every two years (Era) the coin’s emission rate will be reduced by 5%. The emission will stop 100 years from the first block of the first Era, 20 billion tokens have so far been minted in the genesis block.
Each time new coins are minted, 10% of the issued amount goes to Evergreen DAO, a non-profit “focused on long-term sustainability and community impact.” The coins are deposited into the DAO “to be invested into Islamic internet projects or given to Islamic charities.”
Between 1% to 5% goes to a block proposer and its delegators. The remainder is distributed proportionally to all bonded validators and their delegators. As a proof-of-stake asset, Islamic Coin uses a system of delegators of bonded validators.
These are rewarded in proportion to the amount of the ISLM tokens they have staked to help secure the network and process transactions. Rewards are distributed to the delegators less the validator’s commission.
Holders of ISLM can lock their tokens by bonding them to validators in a process known as “staking.” By bonding coins, ISLM holders delegate voting power to validators and become delegators. This gives them the right to earn rewards and participate in governance.
Islamic Coin Projections a
Alhashmi, the Islamic Coin cofounder said that he sees a future where 3% to 4% of the existing one billion Muslim internet users adopt the Islamic Coin. The token would be in a position to scale like Bitcoin (BTC), the first and biggest cryptocurrency.
At 3% adoption, Islamic Coin would have a value of $720 billion in capitalization. The value would rocket to $4.2 trillion with a 20% rate of adoption, four times as much as the existing total global crypto market cap.
The token’s “immense potential is backed by the global influence of the Muslim world,” says the Islamic Coin website.
According to the Global Islamic Economy Report, the volume of the Islamic financial sector was $2.88 trillion in 2020 and is expected to grow to $3.69 trillion by 2024. This is led by the growth of digital technologies and mobile communications.
“Shariah finance is based on ethics and values. Its financial school does not support interests, gambling, and so on. To ensure compliance, every project goes through our Shariah board, which has more than 45 years of experience in Islamic finance” – Alhashmi said.
ISLM has started to receive support from powerful members of the Islamic community. Top Emirati Sheikh Khalifa Bin Mohammed Bin Khalid Al Nahyan was recently added to the Islamic Coin advisory board.