The Sharia Ruling on Trading Gold via the Internet
Sheikh Dr. Saad Al-Khathlan explains the Sharia ruling on trading gold through online platforms, and how to fulfill the Sharia requirement of mutual possession (taqabudh) in such transactions.
It becomes clear that the solution lies in Sharia-compliant agency (wakalah), whereby the buyer may appoint a trusted third party to receive the gold on their behalf, thereby fulfilling the requirement of possession recognized under Islamic law.
The Mechanism of Sharia-Compliant Possession on the Live Gold Platform
Live Gold is a platform for buying and selling gold between individuals. To ensure the full Sharia compliance of every transaction, we have adopted an agency-based mechanism, as follows:
Upon completion of any transaction on the platform, an authorized Live Gold representative is appointed to receive the gold from the seller and hand it over to the shipping company or courier, who then delivers it to the buyer.
Acknowledgment of Sharia-Compliant Agency
By completing the payment process and agreeing to the Terms and Conditions on the Live Gold platform, the buyer acknowledges the following:
"I, the buyer, hereby appoint the authorized representative of the Live Gold platform to receive the gold from the seller and hand it over to the shipping company or courier on my behalf."
Through this procedure, Live Gold fulfills the Sharia requirement of lawful mutual possession recognized in the sale and purchase of gold, God willing.