What is the ruling of Islamic law on investing in the company ACN, which allows the sale of telecommunications and energy services for a commission, and relies on a network marketing system? And does the possibility for subscribers to advance to higher ranks exempt it from being a prohibited pyramid scheme?
It is not permissible to deal with this company because this type of investment is based on impermissible gambling and maysir. It involves paying money in the hope of gaining more, which represents "a guaranteed loss and a potential gain." The fact that a latecomer might surpass an earlier participant does not change the fact that it is a prohibited pyramid scheme.
Network or pyramid marketing has previously been forbidden if it requires paying fees or purchasing a product.
Investing permissible money requires three conditions: 1. The money must be invested in permissible activities. 2. The capital must not be guaranteed, except in cases of transgression or negligence. 3. The profit must be specified as a common percentage of the profit, not of the capital.
These conditions are not met in this type of company.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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