Singapore-based decentralized finance (DeFi) protocol ZaynFi has secured a Shariah stamp of approval which it hopes will assist it in tapping the wider Muslim market.
The Shariah certification, issued by Amanie Advisors, verifies that ZaynFi’s protocol complies with Islamic finance principles, allowing Muslims to engage in DeFi activities in a Halal manner. The company’s platform specializes in creating an ecosystem that simplifies the DeFi experience and develops products that will foster mainstream user adoption, enabling users to streamline the process of staking their cryptocurrencies into liquidity pools that is automated market maker staking.
“We are on a mission to simplify DeFi for the masses and we are delighted that with this certification, we expand the reach of our products into the global Muslim market,” said ZaynFi’s core contributor, Syakir Hashim. “This is the first time that Shariah governance around DeFi’s yield taxonomy has been established.”
Syakir was previously attached to Islamic robo advisor Wahed Invest for over five years, most recently as a non-executive director for the Malaysian operations.
The Fatwa follows the recent launch of the beta version of ZaynFi’s product on the BNB Smart Chain to a select group of early users. The product offers users a chance to earn above-market yields with their stablecoins while reducing exposure to the volatility commonly associated with cryptocurrencies.
According to PitchBook, ZaynFi in September last year raised US$600,000 in seed funding and counts 500 Global and Cur8 Capital as its backers.