Is Compound (COMP) Halal or Haram?
Last screened: April 2026 · Reviewed against AAOIFI Shariah Standards
❌
HARAM — Compound
Decentralized money market protocol — lenders earn interest, borrowers pay interest
Screening Criteria
- Real technology ✅
- No gambling mechanism ✅
- Core protocol is interest-based money market ❌
- All deposits earn interest (riba) ❌
- Algorithmic interest rates explicitly stated ❌
Scholar’s Note
Compound Finance is a decentralized money market where users lend and borrow crypto at algorithmically-set interest rates. This is a clear implementation of riba. Islamic scholars unanimously classify COMP and its protocol as haram — both using the protocol and holding COMP involves direct participation in interest-based finance.
⚠ This screening is for educational purposes only. For a binding religious ruling (fatwa), please consult a qualified Islamic scholar (mufti) familiar with your specific circumstances.
Our Screening Methodology
We screen every cryptocurrency against 5 criteria derived from AAOIFI Shariah Standards and scholarly consensus:
- ✓ No Riba — No interest-bearing mechanisms or yield that resembles usury
- ✓ No Gharar — No excessive uncertainty or deception in the token’s structure
- ✓ No Maysir — No gambling mechanics or purely speculative mechanisms
- ✓ Genuine Utility — The asset serves a real economic or technological purpose
- ✓ Halal Business — The underlying project does not facilitate haram activities
Screen Your Full Portfolio
Check all your coins at once. Free forever, no signup required.
Screen Compound in Our Tool →
✓ Free · ✓ No credit card · ✓ Instant results
Related HARAM Coins