Is USD Coin (USDC) Halal or Haram?

Screening Criteria

• Regulated and audited ✅
• No gambling mechanism ✅
• No direct yield for holders ✅
• Circle earns interest on Treasury reserves ⚠️
• Yield/savings products built on USDC involve riba ⚠️

Scholar’s Note

USDC is more transparent than USDT. Using USDC purely as a transaction medium is generally accepted. However, the underlying reserves earn interest, and USDC-based savings/yield products are clearly haram. Classified as doubtful — use for transactions only, avoid yield products.

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