Luno’s Ethereum (ETH), Solana (SOL) and Cardano (ADA) staking services are certified Shariah compliant.
Independent Shariah advisors registered with the Securities Commission of Malaysia (“SC”) – Sharlife Sdn. Bhd. (“Sharlife”) and Amanie Advisors (“Amanie”) – have thoroughly reviewed Luno’s staking to ensure Shariah compliance.
Shariah compliance certificates
Ethereum (ETH)
Luno’s Ethereum staking service has been certified Shariah compliant by Amanie Advisors (“Amanie”), an independent Shariah advisor registered with the Securities Commission of Malaysia (“SC”).
Solana (SOL)
Luno’s Solana staking service has been certified Shariah compliant by Sharlife Sdn. Bhd. (“Sharlife”), an independent Shariah advisor registered with the Securities Commission of Malaysia (“SC”).
Cardano (ADA)
Luno’s Cardano staking service has been certified Shariah compliant by Sharlife Sdn. Bhd. (“Sharlife”), an independent Shariah advisor registered with the Securities Commission of Malaysia (“SC”).
How does Luno’s Staking work?
Customers who own ADA, ETH, or SOL with Luno Malaysia and opt for the Luno Staking service shall appoint Luno Malaysia as their agent, acting on their behalf to deal with the Custodian and Staking Provider to manage and utilise the customers' staked assets for staking activities. In return, customers can potentially earn rewards.
What is the Shariah contract?
The appointment of Luno Malaysia as the agent via its platform service for staking activities shall be based on the following Shariah principles:
Ju‘ālah (reward for service)
Ju‘ālah is a type of contract where one party offers a reward or commission for completing a specific task or service. In Islamic finance, this principle is used to structure performance-based rewards in a way that’s transparent and fair to both parties.
Wakālah bi al-Istithmār (investment agency)
Wakālah bi al-Istithmār means “agency for investment.” In this structure, an investor appoints another party (like a financial institution) as an agent to invest funds on their behalf. The agent manages the investments according to agreed terms and ethical guidelines, and may earn a fixed management fee. Any profits generated from the investments belong to the investor, after deducting the agent’s fee.
Muḍārabah (profit-sharing partnership)
Muḍārabah is a partnership where one party provides the capita and the other provides expertise or management. Profits are shared between both parties according to a pre-agreed ratio, while any financial loss is borne by the investor as long as the manager has acted responsibly and without negligence. This model encourages risk-sharing and aligns both parties toward ethical, productive investment.