Fasset Secures Malaysia License For Stablecoin-Driven ‘Islamic Digital Bank’
The Labuan Financial Services Authority (FSA) in Malaysia has granted Fasset a temporary license to what it calls the first “Islamic digital bank,” powered by a stablecoin. This license enables Fasset to operate in a regulated sandbox, allowing it to focus on Shariah-compliant financial services.
This announcement marks a significant step for Fasset, as it aims to combine the trustworthiness of traditional banking with innovative fintech answers that adhere strictly to finance principles.
Financial Innovation and Following Shariah Law
Shariah law serves as the foundation for Islamic finance. It outlaws charging interest (riba), taking on too much risk (gharar), and putting money into businesses that are not morally sound, such as gambling, alcohol, and pornography.
Islamic digital bank will adhere to these rules and offer services, including deposit-taking, cross-border payments, and interest-free banking. This method meets the needs of millions of people who want halal financial excellents without sacrificing technological progress or ease of access.
Increasing Access in Asia and Africa
Fasset’s innovative banking model aims to assist areas in Asia and Africa that lack sufficient banking services. It already serves over 500,000 members in 125 countries. Fasset viewks to initiate a similar fintech revolution in these new areas, much like ’s NuBank has done.
The site now lets people save money digitally, earn interest on their savings, and invest in US equities, gold, and cryptocurrencies. This opens up new opportunities for individuals who have been excluded from traditional banking systems.
Stablecoins and How They Work in The Real World
Fasset may offer Shariah-compliant financial services because it uses stablecoins in new ways. The company aims to release a crypto debit card for everyday purchases and “Own,” an layer-two answer on Arbitrum, designed to settle real-world assets.
This connection between blockchain technology and Islamic finance may alter the way digital banking operates in regulated markets, establishing new standards for compliance and interoperability.
Getting Ready For Global Financial Inclusion
Fasset holds licenses in various countries, including the United Arab Emirates, Indonesia, Turkey, the European Union, and Malaysia. This indicates that the company has a broader global objective. The FSA license lets you do business in Malaysia’s offshore financial centre, the Labuan International Business and Financial Centre (IBFC).
However, it is not a full digital banking license from the Central Bank of Malaysia. However, this regulatory permission sets the stage for Fasset’s sluggish growth in Islamic digital banking.
Fasset’s temporary license in makes it the first company to offer Islamic digital banking using stablecoins, combining Shariah compliance with the latest blockchain technology. Fasset is at the forefront of inclusive , meeting the changing demands of global digital economies by focusing on areas that lack sufficient services and emphasising ethical finance.
