Review of Blockchain Technology in Managing Waqf (Endowment)
Keywords:
Gaussian curvature, surface of rotation, the Minding coil, Bianchi transformations., blockchain technology, waqf management, Islamic social finance.Abstract
Waqf in Islam has historically been a vital institution in fulfilling religious needs and social welfare. Its effectiveness in medieval and modern Islam is evident. Yet, this institution is seemingly not without inefficiencies. Agency problem and idle, even dilapidated assets are commonplace, besides inancial constraints and poor human resources are also cited as key impediments. Thus, public trust and contribution are becoming low due to the opacity of the accounting and accountability system. As such, scholars propose the adoption of blockchain technology to mitigate these issues. This paper aims to review the waqf and its types, as well as blockchain technology and its models. The review makes clear that implementation of blockchain technology in managing waqf endowment is pertinent by using a smart contract. The article raises important issues in addition to its caveats pertaining to waqf based on blockchain, which offers solutions in the current problems for its effective implementation for waqf management. This study contributes to the field of waqf endowment as it highlights the use of blockchain technology in managing waqf, which could be useful for Mutawalli (trustee) of waqf towards the sustainability of Islamic social finance.
References
M. R. Ab Aziz, M. A. Yusof, F. Johari, A. Ramli, H. Sabri (2014) The Relief of Higher Education Loan through Islamic Waqf Bank. 10(22). https://doi.org/10.5539/ass.v10n22p175
M. Z. Abbasi (2012) The Classical Islamic Law of Waqf: A Concise Introduction. 26(2), 121-153. www.jstor.org/stable/23234650
M. I. Abd Jalil, S. Yahya, A. A. Pitchay (2019) Building committed Waqif: the role of information disclosure. 10(2), 185-215. https://doi.org/10.1108/jiabr-05-2016-0058
H. Abd Mutalib, S. Maamor (2016) Utilization of Waqf Property: Analyzing an Institutional Mutawalli Challenges in Management Practices. 36-41.
M. I. Abdel Mohsin (2013) Financing through cash-waqf: a revitalization to finance different needs. 304-321. https://doi.org/10.1108/IMEFM-08-2013-0094
M. I. Abdel Mohsin, H. Dafterdar, M. Cizakca, S. O. Alhabshi, S. H. A. Razak, S. K. Sadr, Obaidullah (2016) Legal Framework of the Institution of Waqf. 1-12.
M. I. Abdel Mohsin, A. Muneeza (2019) Integrating waqf crowdfunding into the blockchain. 266-279.
S. Abdul Shukor, F. Johari, K. Abd Wahab, Z. Kefeli @ Zulkefli, N. Ahmad, M. Haji Alias, F. Abu-Hussin Mohd (2019) Trust on awqaf institutions: evidence from Malaysia. 10(2), 511-524. https://doi.org/10.1108/JIMA-05-2017-0054
R. Abdullah, A. G. Ismail (2017) Taking stock of the waqf-based Islamic microfinance model. 44(8), 1018-1031. https://doi.org/10.1108/ijse-06-2015-0176
S. A. Abeyratne, R. P. Monfared (2016) Blockchain ready manufacturing supply chain using distributed ledger. 5(9), 1-10.
M. Abojeib, F. Habib (2019) Blockchain for Islamic Social Responsibility Institutions. 221-240.
A. A. Adeyemi, N. A. Ismail, S. S. B. Hassan (2016) An Empirical Investigation of the Determinants of Cash Waqf Awareness in Malaysia. 24, 501-520. https://journals.iium.edu.my/intdiscourse/index.php/islam/article/view/931
A. Ahmad, F. Habib (2019) Using Blockchain and Smart Contracts for Waqf Institutions. 225-244.
M. Ahmad (2019) An empirical study of the challenges facing zakat and waqf institutions in Northern Nigeria. 11(2), 338-356. https://doi.org/10.1108/ijif-04-2018-0044
M. %C5%ABt (2005) Dawr al-Waqf f%C4%AB Nush%C5%AB%CA%BE al-Mudun al-Jad%C4%ABdah f%C4%AB al-B%C5%ABsnah (S%C4%ABr%C4%81y%C5%ABf%C5%AB Nam%C5%ABdhajan). 8, 47-57. https://docs.google.com/viewer?url=https://www.muslim-library.com/dl/books/ar5727.pdf
M. i. I. Al-Bukh%C4%81r%C4%AB (1993) %E1%B9%A2a%E1%B8%A5%C4%AB%E1%B8%A5 al-Bukh%C4%81r%C4%AB.
A. i. M. Al-Dardir (1995) al-Sharh al-%E1%B9%A2aghir.
A. %E1%B8%A4a%E1%B9%A3r%C4%AB (1992) a-Tarik%C4%81t wa al-Wa%E1%B9%A3%C4%81y%C4%81 wa al-Qa%E1%B8%8D%C4%81y%C4%81 al-Muta%CA%BFalliqah f%C4%AB al-Fiqh al-Isl%C4%81m%C4%AB al-Muq%C4%81ran.
M. i. M. %E2%80%98Im%C4%81d%C4%AB (1997) Ris%C4%81lah f%C4%AB Jaw%C4%81z Waqf al-Nuq%C5%BDd.
A. i. I. Al-Qar%C4%81f%C4%AB (1994) al-Dhakh%C4%ABrah.
M. . %E1%B9%A2ab%C5%ABn%C4%AB (1995) a-Maw%C4%81rith f%C4%AB al-Shar%C4%AB'ah al-Isl%C4%81miyyah f%C4%AB Dhaw' al-Kit%C4%81b wa al-Sunnah.
M. i. M. Al-Sharb%C4%ABn%C4%AB (2000) Mughn%C4%AB al-Muht%C4%81j il%C4%81 Ma%CA%BFrifah Ma%CA%BF%C4%81n%C4%AB Alf%C4%81z al-Minh%C4%81j.
I. i. Al-Shayr%C4%81z%C4%AB (1976) al-Muhadhdhab.
N. Alam, L. Gupta, A. Zameni (2019) Fintech and Islamic Finance: Digitalization, Development and Disruption.
M. Alharby, A. Van Moorsel (2017) Blockchain-based smart contracts: A systematic mapping study. https://doi.org/10.5121/csit.2017.71011
T. A. Alias (2014) The gift economy: waqf in the Islamic world today. 475-495.
L. M. Bach, B. Mihaljevic, M. Zagar (2018) Comparative analysis of blockchain consensus algorithms.
I. S. Beik, M. H. Zaenal, P. Rizkiningsih (2019) Waqf Led Halal Cryptocurrency Model. 285-298.
A. Biryukov, D. Khovratovich, I. Pustogarov (2014) Deanonymisation of Clients in Bitcoin P2P Network. https://doi.org/10.1145/2660267.2660379
J. Bonneau (2019) Hostile Blockchain Takeovers (Short Paper).
J. Brito, A. Castillo (2013) Bitcoin: A Primer for Policymakers.
J. A. C. Brown (2014) Misquoting Muhammad: The Challenge and Choices of Interpreting the Prophet's Legacy.
K. Christidis, M. Devetsikiotis (2016) Blockchains and Smart Contracts for the Internet of Things. 4, 2292-2303. https://doi.org/10.1109/ACCESS.2016.2566339
M. %C3%87izak%C3%A7a (1995) Cash waqfs of Bursa, 1555-1823. 38(3), 313-354.
M. %C3%87izak%C3%A7a (2000) A History of Philanthropic Foundations: The Islamic World from the Seventh Century to the Present.
C. Decker, R. Wattenhofer (2013) Information propagation in the Bitcoin network.
O. Doe-Bruce (2019) Blockchain and Alternative Sources of Financing. 91-111.
H. Elasrag (2019) Blockchains for Islamic finance: Obstacles & Challenges. https://EconPapers.repec.org/RePEc:mpr:mprres:92676
K. Fanning, D. P. Centers (2016) Blockchain and Its Coming Impact on Financial Services. 27(5), 53-57. https://doi.org/10.1002/jcaf.22179
(2018) Social Solution for Blockchain. https://cdn.finterra.org/FINTERRA_WHITE%20PAPER.pdf
(2018) WAQF Chain the socio economic solutions. https://24zoll3xswnf3vtql2lanwdx-wpengine.netdnassl.com/wp-content/uploads/2019/01/WAQF-Blockchain-Social-Economic-V-03.1.pdf
S. Fosso Wamba, J. R. Kala Kamdjoug, R. Epie Bawack, J. G. Keogh (2019) Bitcoin, Blockchain and Fintech: a systematic review and case studies in the supply chain. (2-3), 115-142. https://doi.org/10.1080/09537287.2019.1631460
P. Fraga-Lamas, T. M. Fernández-Caramés (2019) A review on blockchain technologies for an advanced and cyber-resilient automotive industry. 7, 17578-17598.
H. Gabil, B. Bensaid, T. Tayachi, F. Jamaldeen (2020) (4), 76. https://www.mdpi.com/1911-8074/13/4/76
A. D. Gamon, M. S. Tagoranao (2018) The Role of Waqf Properties in the Development of the Islamic Institutions in the Philippines: Issues and Challenges. 26(2), 1191%E2%80%931212. https://journals.iium.edu.my/intdiscourse/index.php/islam/article/view/1263
M. Gaudiosi (1988) The Influence of the Islamic Law of Waqf on the Development of Trust in England: the Case of Merton College. 136(4), 1231-1261.
G. Hileman, M. Rauchs (2017) Global blockchain benchmarking study.
M. Ibn al-%E1%B8%A4ajj%C4%81j %E1%B9%A2a%E1%B8%A5%C4%AB%E1%B8%A5 Muslim.
M. Ibn Qud%C4%81mah (1992) Al-Mughn%C4%AB. 8.
H. Ihsan, S. H. M. I. Hameed (2011) Waqf accounting and management in Indonesian waqf institutions. https://doi.org/10.1108/08288661111181305
C. Z. Ismail, N. J. Salim, N. J. A. Hanafiah (2015) Administration and Management of Waqf Land in Malaysia: Issues and Solutions. https://doi.org/10.5901/mjss.2015.v6n4s2p613
F. A. Jafri, A. Mohd Noor (2019) Temporary Waqf Model for Islamic Private Retirement Scheme in Malaysia - A Proposal. 8(1), 023-035. https://journals.iium.edu.my/iiibf-journal/index.php/jif/article/view/329
B.-G. Jeong, T.-Y. Youn, N.-S. Jho, S. U. Shin (2020) Blockchain-Based Data Sharing and Trading Model for the Connected Car. 20(11), 3141. https://doi.org/10.3390/s20113141
K. A. Khalfan, N. Ogura (2012) The Contribution of Islamic Waqfto Managing the Conservation of Buildings in the Historic Stone Town of Zanzibar. 19(2), 153-174. https://doi.org/10.1017/s0940739112000112
A. Kosba, A. Miller, E. Shi, Z. Wen, C. Papamanthou (2016) Hawk: The Blockchain Model of Cryptography and Privacy-Preserving Smart Contracts.
T. Kuran (2001) The Provision of Public Goods under Islamic Law: Origins, Impact, and Limitations of the Waqf System. 35(4), 841-898. https://doi.org/10.2307/3185418
Timur Kuran (2012) The Long Divergence: How Islamic Law Held Back the Middle East.
Nancy Lamoureaux (2009) Scylla or Charybdis? Historical Reflections on Two Basic Problems of Corporate Governance. 83, 9-34.
David S. Landes, Joel Mokyr, William J. Baumol (2012) The Invention of Enterprise: Entrepreneurship from Ancient Mesopotamia to Modern Times.
Aharon Layish (1997) The Family Waqf and the Shar%E2%80%98%C4%AB Law of Succession in Modern Times. 4(3), 352-388. www.jstor.org/stable/3399366
Aharon Layish (2008) Waqfs of Awl%C4%81d al-N%C4%81s in Aleppo in the Late Maml%C5%ABk Period as Reflected in a Family Archive. 51(2), 287-326. https://doi.org/10.1163/156852008x307456
Jian Li, David Greenwood, Mohammad Kassem (2019) Blockchain in the built environment and construction industry: A systematic review, conceptual models and practical use cases. 102, 288-307.
C. Liu, H. Wang (2019) Crypto Tokens and Token Offerings: An Introduction. 125-144.
H. Lu, K. Huang, M. Azimi, L. Guo (2019) Blockchain Technology in the Oil and Gas Industry: A Review of Applications, Opportunities, Challenges, and Risks. 7, 41426-41444. https://doi.org/10.1109/ACCESS.2019.2907695
R. Management (2018) The Finterra WAQF Chain with Hamid Rashid, Founder and CEO Finterra @Finterra2u. youtube.com/watch?v=XipYn2ATt7Q
J. E. Mandaville (1979) Usurious Piety: The Cash Waqf Controversy in the Ottoman Empire. (3), 289-308. www.jstor.org/stable/162140
R. Masruki, M. Mohd Hanefah, D. N. Aryani, Bunyamin (2019) Performance measurements of socio-economic impact for waqf (endowment) institutions. (6), 1-16.
R. Masruki, Z. Shafii (2013) The development of Waqf accounting in enhancing accountability. 13, 1-6. https://doi.org/10.5829/idosi.mejsr.2013.13.1873
R. Massey, D. Dalal, A. Dakshinamoorthy (2017) Initial coin offering: A new paradigm. https://www2.deloitte.com/content/dam/Deloitte/us/Documents/process-and-operations/us-cons-new-paradigm.pdf
R. D. McChesney (2014) Waqf in Central Asia: Four Hundred Years in the History of a Muslim Shrine, 1480-1889.
M. Z. Md Zabri, M. O. Mohammed (2018) Qualitative validation of a financially affordable Islamic home financing model. (2), 143-161. https://doi.org/10.1108/ijif-08-2017-0023
S. Meiklejohn, M. Pomarole, G. Jordan, K. Levchenko, D. McCoy, G. Voelker, S. Savage (2013) A fistful of bitcoins: characterizing payments among men with no names. https://doi.org/10.1145/2504730.2504747
M. Mel%C4%8D%C3%A1k (2010) The development of D%C4%ABw%C4%81n al-awq%C4%81f in Egypt in the 19th century: Regulations of 1837 and 1851. 78(1), 1-34.
M. Mettler (2016) Blockchain technology in healthcare: The revolution starts here.
E. Mik (2017) Smart contracts: terminology, technical limitations and real world complexity. (2), 269-300. https://doi.org/10.1080/17579961.2017.1378468
S. A. Mikail, M. A. J. Ahmad, S. S. Adekunle (2017) Utilisation of zak%C4%81h and waqf fund in micro-tak%C4%81ful models in Malaysia: an exploratory study. 9(1), 100-105. https://doi.org/10.1108/ijif-07-2017-010
I. S. Moh'd, M. O. Mohammad, B. Saiti (2017) The Role of Waqf and Trust Commission (WTC) in Zanzibar: Problems and Prospects. 13(1), 96-107. https://doi.org/10.12816/0051157
I. S. Moh'd, M. Omar Mohammed, B. Saiti (2017) The problems facing agricultural sector in Zanzibar and the prospects of Waqf-Muzar'ah-supply chain model. 33(2), 189-210. https://doi.org/10.1108/h-02-2017-0033
N. A. Mohamad (2018) A Study on the Socio-Economic Roles of Waqf Ahli (Family Waqf) in Promoting Family Security and a Sustainable Family Economy. 26(1), 141. https://doi.org/10.31436/iiumlj.v26i1.383
H. Mohamed, H. Ali (2018) Blockchain, Fintech, and Islamic Finance: Building the Future in the New Islamic Digital Economy.
M. T. S. Mohammad (2011) Towards an Islamic Social (Waqf) Bank. 381-386. https://doi.org/10.7763/IJTEF.2011.V2.135
M. A. Mohd Thas Thaker, H. Mohd Thas Thaker, A. A. Pitchay (2018) Modeling crowdfunders' behavioral intention to adopt the crowdfunding-waqf model (CWM) in Malaysia. 11(2), 231-249. https://doi.org/10.1108/imefm-06-2017-0157
A. H. M. Musaee, Muhammad Abbas, Kamal Mujan, R. Sidik (2014) Waqf Land in the West Bank and Investment Current State of Affairs. 10(14). https://doi.org/10.5539/ass.v10n14p23
H. S. Nahar, H. Yaacob (2011) Accountability in the sacred context. 2(2), 87-113. https://doi.org/10.1108/17590811111170520
A. b. M. Noor, S. b. M. Yunus (2014) Application of the Build, Operate, Transfer (bot) Contract as a Means of Financing Development of Waqf Land: Malaysian Experience. 28(2), 136. https://doi.org/10.1163/15730255-12341281
N. H. Noordin, S. N. Haron, S. Kassim (2017) Developing a comprehensive performance measurement system for waqf institutions. 44(7), 921-936. https://doi.org/10.1108/ijse-09-2015-0257
L. Oliveira, L. Zavolokina, I. Bauer, G. Schwabe (2018) To Token or not to Token: Tools for Understanding Blockchain Tokens. https://www.zora.uzh.ch/id/eprint/157908/
N. Pianciola, P. Sartori (2007) Waqfin Turkestan: the colonial legacy and the fate of an Islamic institution in early Soviet Central Asia, 1917%E2%80%931924. 26(4), 475-498. https://doi.org/10.1080/02634930802017929
A. A. Pitchay, M. A. Mohd Thas Thaker, A. A. Mydin, Z. Azhar, A. R. Abdul Latiff (2018) Cooperative-waqf model: a proposal to develop idle waqf lands in Malaysia. 10(2), 225-236. https://doi.org/10.1108/ijif-07-2017-0012
C. M. S. Rahaman, G. M. Fahmi, I. M. Faisol (2011) Economics of Cash Waqf management in Malaysia: A proposed Cash Waqf model for practitioners and future researchers. 5.
S. K. Rashid (2018) Potential of Waqf in Contemporary World. 31(2), 53-69. https://doi.org/10.4197/Islec.31-2.4
S. Raval (2016) Decentralized Applications: Harnessing Bitcoin's Blockchain Technology.
B. O. Rothstein, R. Broms (2013) Governing religion: the long-term effects of sacred financing. 9(4), 469-490. https://doi.org/10.1017/S1744137413000271
A. M. Sadeq (2002) Waqf, perpetual charity and poverty alleviation. 29(1/2), 135-151. https://doi.org/10.1108/03068290210413038
J. Salmon, G. Myers (2019) Blockchain and Associated Legal Issues for Emerging Markets. https://openknowledge.worldbank.org/handle/10986/31202
S. Sanusi, M. H. Mohd Shafiai (2015) The Management of Cash Waqf: Toward Socio-Economic Development of Muslims in Malaysia. 43. http://ejournal.ukm.my/pengurusan/article/view/11117
T. Schrepel (2019) Collusion by Blockchain and Smart Contracts. 33. https://doi.org/10.2139/ssrn.3315182
S. A. Shaikh, A. G. Ismail, M. H. Mohd Shafiai (2017) Application of waqf for social and development finance. (1), 5-14. https://doi.org/10.1108/ijif-07-2017-002
M. Shatzmiller (2001) Islamic Institutions and Property Rights: The Case of the 'Public Good' Waqf. 44(1), 44-74. www.jstor.org/stable/3632558
A. Singer (2008) Charity in Islamic Societies.
D. Siswantoro, H. Rosdiana, H. Fathurahman (2018) Reconstructing accountability of the cash waqf (endowment) institution in Indonesia. 44(5), 624-644. https://doi.org/10.1108/mf-05-2017-0188
E. Smolo (2019) The Role of Waqf (Endowment) in Economic Development of Bosnia and Herzegovina: A Historical Overview and Future Prospects. 85-105.
F. M. Suhaimi, A. Ab Rahman, S. Marican (2014) The role of share waqf in the socio-economic development of the Muslim community: The Malaysian experience. 30(3), 227-254. https://doi.org/10.1108/h-12-2012-0025
M. Sulaiman, M. A. Zakari (2019) Financial sustainability of state waqf institutions (SWIs) in Malaysia. 10(2), 236-258. https://doi.org/10.1108/jiabr-05-2016-0054
M. Tieman, M. R. Darun (2017) Leveraging blockchain technology for halal supply chains. 274(5750), 1-4.
W. M. Wan Ahmad, A. Ab Rahman (2011) The Concept of Waqf and its Application in an Islamic Insurance Product: The Malaysian Experience. 25(2), 203-219. https://doi.org/10.1163/157302511x553994
A. Yaakob, N. Mahzir, D. Supaat, M. Z. Zakaria, I. Wook, M. Mustafa (2017) Waqf as a Means of Forest Conservation: Alternative for Malaysia. 23, 4860-4864. https://doi.org/10.1166/asl.2017.8928
D. Yaga, P. Mell, N. Roby, K. Scarfone (2019) Blockchain technology overview. https://doi.org/10.6028/NIST.IR.8202
S. S. Yahya (2008) Financing social infrastructure and addressing poverty through wakf endowments: experience from Kenya and Tanzania. (2), 427-444. https://doi.org/10.1177/0956247808096121
H. E. Yayla (2011) Operating regimes of the government: Accounting and accountability changes in the Sultan S%C3%BCleyman Waqf of the Ottoman Empire (The 1826 Experience). 16(1), 5-34. https://doi.org/10.1177/1032373210389320
Z. Zheng, S. Xie, H. Dai, X. Chen, H. Wang (2017) An Overview of Blockchain Technology: Architecture, Consensus, and Future Trends.
K. Zile, R. Strazdi%C3%B1a (2018) Blockchain Use Cases and Their Feasibility. 23(1), 12-20. https://doi.org/10.2478/acss-2018-0002
I. A. Zilli (2018) Waqf 'Ala Al-'Awl%C4%81d A Case of Colonial Intervention in India. 989%E2%80%931005. https://journals.iium.edu.my/intdiscourse/index.php/islam/article/view/1253
I. Zubaidi, A. Abdullah (2017) Developing a Digital Currency from an Islamic Perspective: Case of Blockchain Technology. 79. https://doi.org/10.5539/ibr.v10n11p79
Downloads
Published
Issue
Section
License
Copyright (c) 2023 Authors and Global Journals Private Limited
This work is licensed under a Creative Commons Attribution 4.0 International License.
