Cryptocurrency and blockchain technologies have revolutionized the banking industry by bringing efficiency and innovation. The intrinsic volatility, however, makes them incompatible with the tenets of Islamic finance, which place an emphasis on risk-sharing, stability, and moral investing. Using BCHAIN MAC, a private blockchain, secured by message authentication value (MAC), created to produce MAC Coin, a stablecoin linked to MAC Token, this study suggests an architecture uses automatic smart contracts and a seigniorage mechanism to keep the value of MAC Coin between 0.8$ and 1.2$. The study shows that by dynamically modifying supply and demand, smart contracts and transaction fees work together to sustain the coin. Increased transaction averages and less price swings are two important outcomes that correlate with higher stability. By providing a workable, Sharia-compliant method of incorporating digital currencies into Islamic financial institutions, this framework opens the way for morally sound and secure financial innovation.
MAC COIN ON BCHAIN MAC: A STABLE AND ISLAMICCOMPATIBLE CRYPTOCURRENCY MODEL
blockchain
stablecoin
Islamic Law
User Fee
Smart Contract