Take a look at this article here:
http://motherboard.vice.com/read/the-bitcoin-startup-that-helps-muslims-get-loans-without-breaking-islamic-lawSome key excerpts from it:
Muslims make up nearly 25 percent of the world's population, but sharia (Islamic law) compliant assets are only 1 percent of the world assets, according to Islamic Finance, a private initiative owned by Islamic Finance and Sukuk Company, which serves the Islamic banking sector.
That means there's a lot of money exchanged hand to hand between Muslims—a lot of investments based on friendship or closeness. There is also a lack of sharia-compliant assets crossing international borders, Martin says.
If there is no profit, Blossom takes no fee. This allows both Blossom and the investor to benefit without violating the sharia prohibition against taking or paying interest.
Martin chose Bitcoin because the digital currency allows for transparency: all transactions are recorded in a central ledger, called the blockchain, which anyone can look at.
Blossom is now based in Indonesia, where there is a demand for Islamic finance. While there wasn’t enough demand for Islamic financing in the US, the opposite is true in Indonesia, where there are more than 200 million Muslims, according to Pew Research. “Eighty percent of the population is ‘unbanked,’” Martin said. “There is a huge need for investment capital.”
"This investment will help 10 to 20 micro businesses within Indonesia to expand," Martin said. "The idea of helping people create their own businesses to earn a decent living holds a special place in my heart .”
What do you guys think? I think it's very interesting and it is a unique way to use bitcoin - if other parts of the Islamic world catch on to this then bitcoin can become a much more popular thing.
For the first bolded part , I do read that he is willing to be a "hero" that create some financial provider company to help the other people to have a better life and I dont actually want to disrespect this stuff but if something is too good to be true than it is not true at all (mostly). Also that the second bolded part, he is not actually "helping" people to create their own business because in the end the loaner will need to repay their debt as well despite that their business might be unsuccessful
The reason of choosing
BTC to do this is actually quite odds because he needs all transaction to be recorded publicly. I dont see the difference with him using FIAT for this because every transaction will be recorded in bank as well as the name of the loanerand there is no point of him to choose
BTC for that.
Also I am not sure of his intention for this because a quick search on google lead me to know that there are few "sharia" bank in Indonesia already and people can ask for a loan there without breaking any islamic law as well
P.S : I think this fit more in politics and society?
