Rabat – If you’re unfamiliar with the concept of cryptocurrency, you could be forgiven for thinking that this market is solely dominated by the globally renowned Bitcoin.
In fact, this is just one of many digital currencies that are emerging on the back of Blockchain technology, with many finding niches in the form of various applications and locations across the globe. Take the Habibi Coin, for example, which is essentially a Middle Eastern iteration of Bitcoin and one that has popularized cryptocurrency within the region.
In this post, we’ll review the Habibi Coin, its reason for existing and ask what’s next for its future.
What is the Habibi Coin, and Why Does it Exist?
In simple terms, the Habibi Coin was established by Dubai-based entrepreneur Com Mirza as a Middle Eastern alternative to Bitcoin, and one that had the capacity to introduce Blockchain to the region. In this respect, the burgeoning cryptocurrency has played a key role in Middle Eastern finance, as it has transcended the market by complying with Shariah Law and enabling Muslims to leverage this technology freely.
After all, Islam and Shariah doctrines set out clear lending rules that make it difficult for Muslims to charge interest in exchange for borrowing money, so cultivating a specialist version of Bitcoin represented the best possible way to negate this.
In terms of initial applications, the Habibi Coin has been utilized to negate the payment of interests and some of the inherent risks associated with buying property. In simple terms, this new digital currency allows Muslim users to adhere to their faith while also investing in real estate and similar financial assets classes, serving as a decentralized payment system that eliminates fees and the deployment of costly middlemen.
A Burgeoning Market, but What’s Next for the Habibi Coin?
The ultimate goal of the brains behind the Habibi Coin is to create the largest, Shariah-compliant digital tokens in the world, and it’s arguably well on the way to achieving this lofty ambition. As if to reaffirm this, its creator is planning to launch a $100 million ICO (Initial Coin Offering), which will enable innovators to carve out new applications for the Habibi Coin in Muslim communities across the globe.
Apparently, $3 million has already been raised to achieve this goal, so this is definitely a space to watch in the future.
Beyond this, Habibi Coin is also helping to establish Dubai as a prominent player in the cryptocurrency market, as the city looks to capitalize on the uncertainly engulfing fin-tech leaders in London and Europe.
Now emerging as the focal point for Blockchain advancement and innovation, Dubai is seeking sustained investment from potential partners and thriving on the back of the early-stage success of the little-known Habibi Coin.