Abstract

Purpose: One of the five pillars of Islamic law is zakah¯ , which applies to all qualified Muslims and demands that they contribute a portion of their wealth for benefit of the Muslim community. Methodology: This study relies on a conceptual approach to describe the role of blockchain technology in zakah¯ organizations. Findings: This study explores the potential of blockchain technology and smart contracts to revolutionize zakah¯ management. By developing a conceptual model, it aims to establish how these tools can enhance transparency, build Muzzaki trust, and ultimately simplify the distribution of zakah¯ funds to deserving recipients. Significance: Zakah¯ institutions’ transparency, competency, and trustworthiness in zakah¯ management are the most important characteristics that influence public willingness to pay zakah¯ through zakah¯ organizations. As a result, incorporating blockchain technology into zakah¯ management can track the status of zakah¯ funds and make the distribution and transaction of funds more transparent. Practical Implications: The use of blockchain technology would ensure that zakah¯ should reach directly to real zakah¯ recipients in an efficient manner. It will also help the payers and receivers anonymously.

Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.