Short Selling

In finance, being short in an asset means investing in such a way that the investor will profit if the value of the asset falls. This is the opposite of a more conventional "long" position, where the investor will profit if the value of the asset rises.

188840

Gambling . Cryptocurrency . Short Selling

Is short trading on Binance permissible? For instance, if I short Bitcoin and its price declines, I profit, but if it rises, I incur a loss. Does this practice resemble gambling since profit comes from the coin's price decrease?

Sayyed Mohammad Al-Musawi, Sayyed Mohammad al-Musawi is originally from Iraq and heads up the World Ahlul Bayt Islamic League in London. Other than being involved in various humanitarian projects, he frequently responds to... Answered 1 year ago

Some of our Maraje’ did not give opinion in crypto currency dealings, but other Maraaje’ allow that as far as it does break the government regulations and it does not harm anyone.

Price of everything can go up or down, so it is not a gambling.

Wassalam.

172073

Stock . Short Selling

Is it permissible to engage in short selling in the stock market as some online resources argue against it, citing the principle of "not selling what you do not own"?

Short selling is permissible as far as you deal with shares of companies engaged in lawful business only and not indulged in unlawful activities like usury, alcohol, gambling, etc.

‘When you buy a share for a short while, you will own that share for that short period, then sell it.

Wassalam.

113053

Investment . Short Selling

Is it allowed to short sell commodities?

Short selling is permissible as far as it does not harm the livelihood of people to a considerable size.

Wassalam.