Why I Voted for Algorand – III

As indicated in my previous blog, the IBF ecosystem needs both types of tokens, the IBFx tokens for “exchange” of values and IBFs tokens for their own “esteem” value. While the former is a fungible token, the latter has to be a non-fungible and unique one. And as we discussed, both can be issued as…

Why I Voted for Algorand – II

In the first part of this series on why I voted for Algorand protocol for developing IBFx as the token of IBF Net, I underlined the trilemma of achieving scalability without sacrificing security or decentralization. IBFx is primarily designed as a social crypto that will capture the value created by contribution of efforts (volunteering) and of…

Artificial Intelligence (AI) through the Lens of Islamic Economics – VI

We underline some data privacy related guidelines and principles that do not violate the basic beliefs and culture of Islamic societies. They merit serious consideration by zakat and Islamic non-profit organizations, especially that have gone digital, where the beneficiary is usually in a weak bargaining position. The narrative “data is new oil”, is frequently used…

Artificial Intelligence (AI) through the Lens of Islamic Economics – IV

Text analysis may be useful, for instance, for a waqf organization to know what the neighborhood feels about the public goods (education, healthcare, orphan care etc.) it provides. An association of zakat organizations in a country concerned about a high rate of “donor attrition” may feel the need for a “feel-good analysis” of donors. A…

Artificial Intelligence (AI) through the Lens of Islamic Economics – II

Algorithms are essential building blocks of AI. In this blog I introduce the notions of data, algorithms and machine learning against the backdrop of the zakat and Islamic micro finance sectors. A few responses to my introductory blog on AI seemed to suggest a good-natured attempt to confer human-ness on Sophia. Some wondered (in a…

Fighting Covid-19 with Sadaqah & Faith

The numbers are scary. As we write this, there are four and a quarter hundred thousand humans reported to be affected by the pandemic Covind-19. The number of deaths are fast approaching the twenty-thousand figure world-wide. No one can predict where these numbers are headed. Mankind has never faced a challenge of this magnitude during…

Blockchains through the Lens of Islamic Economics

Verifiability, traceability, immutability, validation through consensus, sharing through network, inter-generational distribution - attributes and concepts common to block chain methodology have a root in Islamic scholarship. The “chain” played a significant role in shaping the contours of Islamic economics, by creating the authenticated and tamper-proof records of the words of God and the words and…

The Issue of Anonymity in Digital Zakat

Identity brings in many benefits in the context of zakat distribution (as underlined in my earlier blog). Lack of identity or anonymity on the part of the beneficiaries is certainly not desirable. It should be obvious that a digital environment makes it possible for the zakat organization to collect many types of personal data. Zakat…

The Issue of Identity in Digital Distribution of Zakat

My last blog ended on a note that digitizing zakat payments to beneficiaries would be more efficient, as compared to payments involving hard cash or in-kind payments, by avoiding costs related to leakages, fraud and ensuring greater accountability. This comes with a few qualifiers, however. We assume that the technology and infrastructure is there. And…

Making Sense of Digital Distribution of Zakat

Zakat may be paid out by an individual muzakki (zakat payer) directly to an individual mustahiq (zakat beneficiary). This is the practice in countries where there is no organized or institutional mobilization and disbursement of zakat. Arguably, organized zakat management has many positives. Available evidence suggests that organized zakat management may be more efficient in…