Juristic Analysis and Adaptation of Blockchain Applications in Addressing Contemporary Endowment Challenges and Issues

Abstract

The study aimed to examine the role of blockchain technology applications in addressing the problems and challenges facing contemporary waqf (Islamic endowment) institutions by analyzing the major issues confronting them, including the loss of waqf assets, weak governance, administrative and financial corruption, challenges in managing waqf funds, and global issues related to the waqf sector, while also examining the Islamic jurisprudential characterization of these applications in light of the objectives of Islamic law (Maqasid al-Shariah). The study employed the inductive, analytical, and Islamic jurisprudential approaches to achieve its objectives. The findings revealed that blockchain technology represents an effective tool for enhancing waqf management due to its decentralization, transparency, immutability, and efficiency in processing transactions. These features contribute to safeguarding waqf assets, promoting integrity, improving administrative efficiency, and strengthening trust between donors and waqf institutions. Furthermore, the study found that blockchain applications support the development of waqf funds through innovative financing models, such as waqf sukuk and crowdfunding, thereby enhancing the sustainability of waqf and reinforcing its developmental role. The study also confirmed that the use of blockchain is consistent with the objectives of Islamic law and is considered Shariah-compliant, provided that it adheres to Islamic legal principles, serves the interests of the waqf, and prevents corruption and harm. The study concluded that blockchain applications offer a promising solution to the challenges facing contemporary waqf institutions. It recommends developing digital governance frameworks, establishing supportive legislative and regulatory environments, training specialized professionals, and strengthening institutional partnerships to ensure the effective implementation of blockchain technology and enhance public trust in waqf institutions.

Keywords: Role, Blockchain Applications, Solutions, Challenges, Contemporary Waqf.