Between Sharia Compliance and Digital Speculation: Cryptocurrency Discourse in Contemporary Indonesian Islamic Economic Thought

Abstract

The rapid growth of cryptocurrency has triggered significant debate within Islamic legal and economic discourse, particularly in Indonesia as the world’s largest Muslim-majority country. This study examines the theological, juridical, and economic dimensions of cryptocurrency from the perspective of Islamic law (fiqh muʿāmalāt) and its practical implications within Indonesia’s regulatory and financial ecosystem. Using qualitative doctrinal and normative analysis supported by institutional documents, fatwas, and regulatory frameworks, this research analyzes how Indonesian Islamic authorities, including the Indonesian Ulema Council (MUI), interpret cryptocurrency in relation to the principles of gharar (uncertainty), maysir (speculation), riba (usury), and mal (recognized wealth). The findings reveal that cryptocurrency in Indonesia is positioned within a dualistic framework: as a tradable digital commodity under state law, yet religiously restricted as a currency due to excessive speculation and volatility. The study also identifies emerging Sharia-compliant blockchain innovations and highlights the tension between technological innovation and classical Islamic jurisprudence. The research contributes to contemporary Islamic economic scholarship by contextualizing cryptocurrency within Indonesia’s socio-legal landscape and proposing a maqāṣid al-sharīʿah-based evaluative framework for digital assets.