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All Journal Al-Ahkam
Muhammad Izzul Syahmi Zulkepli
Universiti Malaya, Kuala Lumpur
Religion Law, Crime, Criminology & Criminal Justice

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Automated Transaction of Smart Contract: Technology and Sharia Discourse Muhammad Izzul Syahmi Zulkepli; Abdul Muneem; Mohd Shahid Mohd Noh; Mohammad Taqiuddin Mohamad; Saaidal Razalli Azzuhri
Al-Ahkam Vol. 36 No. 1 (2026): April
Publisher : Faculty of Sharia and Law, Universitas Islam Negeri (UIN) Walisongo Semarang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.21580/ahkam.2026.36.1.26307

Abstract

Smart contracts offer Islamic finance a new mechanism for executing transactions with greater transparency, efficiency and reduced Sharia non-compliance risk, yet their distinct technical features introduce Sharia challenges scholarly exploration. This paper aims to study the implementation of smart contracts from the Sharia Scholars’ perspective and to analyze its operational challenges as well as Sharia-related issues that arise from integration in the realm of Islamic finance. Using a qualitative approach, data was collected from credible sources such as books, journals, and relevant websites, with strict inclusion criteria. The analysis employed inductive reasoning and an explanatory research method to explore the application and issues surrounding smart contracts. The study finds that smart contracts hold great potential and are generally Sharia-compliant. However, technical aspects, such as contract terms, coding, execution, and protocol consensus require further research. It also stresses the importance of having a Sharia committee or advisor to ensure compliance in products and operations.
Co-Authors Abdul Muneem Mohammad Taqiuddin Mohamad Mohd Shahid Mohd Noh Saaidal Razalli Azzuhri