Are diamonds the next pillar of Islamic finance?

Khaleej Times spotlights a new financial frontier: Diamond Standard’s commodities are now transforming Islamic finance, offering a Shariah-compliant alternative to traditional commodity instruments.

For centuries, diamonds symbolized wealth. Today, they are being recast as audited, standardized, and blockchain-enabled financial assets, suited for Murabaha transactions and compliant with AAOIFI Standard 62.

Here’s what’s groundbreaking:
- Each Diamond Standard Bar contains natural diamonds optimized for value equivalence.
- Embedded wireless chips issue blockchain-verified titles of ownership.
- Unlike copper or aluminum, diamonds offer lower custody costs and are easier to deliver.
- These assets are tradable, deliverable, and approved to settle U.S. exchange contracts.

This innovation arrives as Islamic banks seek asset-backed alternatives to options and warrants. With growing interest across the Gulf and BRICS markets, diamonds are emerging as a practical, transparent, and ethical solution.

🔗 Read the full feature in Khaleej Times:
https://t.co/8rNIiqnOIf

What role can diamonds play in your financial strategy?