With Islamic finance on the brink of reaching $12.5 billion, Shariah-compliant crypto initiatives aim to cater to two billion Muslims—yet the supply of such services is struggling to match the mounting demand.
A recent analysis highlights the surging interest in Shariah-compliant crypto offerings, even as the market grapples with adequately serving the two billion Muslims who are in search of ethical, interest-free financial solutions.
Currently valued at $8 billion, the Islamic finance industry is anticipated to grow to $12.45 billion by 2028, reflecting an annual growth rate of 11.7%, according to the analysis shared.
This increasing demand is driving momentum for platforms that align with Islamic financial tenets, which include prohibitions on riba (interest), gharar (uncertainty), and connections to haram (forbidden) sectors.
Digital assets aligned with Islamic law
MRHB features a suite of four DeFi products, including TijarX and EmplifAI, while Goldsand enables halal staking with $4.5 million in staked assets.
Sidra Chain has also made significant strides, having processed nearly 13 million transactions from over 700,000 users.
However, despite these advancements, the analysis indicates a gap in compliant offerings relative to demand, especially among Gen Z Muslims, 85% of whom are already utilizing Islamic banking services.
Experts suggest that the future progress relies on regulatory clarity and standardized Shariah governance. With Islamic finance projected to reach $4 trillion globally, Shariah-compliant crypto could emerge as a crucial component of the evolving digital economy—if it can sufficiently scale to meet the increasing demand.