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The question

Is the leverage used in Forex trading permissible (halal) or forbidden (haram) if it is provided without a broker, additional commissions, or interest?

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Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 20261 min readAlso available in العربية
The answer

"Leverage is an interest-based loan (riba) because the lender (broker) stipulates that the trader's transactions must be conducted through him. Thus, the lender benefits from his loan through commissions. This combines a loan and a compensatory transaction, which is prohibited in Islamic law. Every loan that draws a benefit is usury (riba)."

Summarized from the full answer at Ftawy · imported

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
179425
Imported
Translation status
Source text, unreviewed
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