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Is Litecoin (LTC) halal?

Permitted

The six conditions are met for a spot purchase.

Verdict calculated by Halal Bourse's published rules from an investigation of primary sources (project documentation, registers, decisions), conducted on 10/05/2026 and not reviewed by a human.

Open the evidence file

The asset

Native currency of the Litecoin network (Scrypt proof of work), a Bitcoin derivative created in 2011 Issuer: No issuer: open-source network; the Litecoin Foundation, a nonprofit organization (Singapore and United States), promotes its development.

LTC is used to make payments on the Litecoin network, created in late 2011 by Charlie Lee. The supply is capped at 84 million LTC; the block reward is 6.25 LTC and will drop to 3.125 LTC around July 2027. As of October 5, 2026 (14:51 UTC), CoinGecko reports 77.68 million LTC in circulation, a price of €63.62 and a market capitalization of €4.94 billion (24th rank).

Why this verdict

  1. Permissible purpose : met. LTC serves as a payment currency on its own network; no gambling, interest-bearing loan or impermissible content is found.
  2. No riba : met. Holding pays no yield: the block reward (6.25 LTC) goes to the miner, and transaction fees will replace it after the last LTC is issued. No native lending or staking mechanism appears in the sources read.
  3. No gambling : met. The spot purchase is of a token recorded on a public ledger and transferable between addresses; it is not a contract on a price difference.
  4. No excessive gharar : met. The issuance rules are published: cap of 84 million LTC, reward halved every 840,000 blocks, next halving around July 2027. In March 2026, a flaw in the confidentiality extension block (MWEB) allowed excess LTC to be created; they were recovered after a fix.
  5. Real ownership : met. LTC can be withdrawn to a personal wallet address; the full node software is public and open.
  6. No fraud or manipulation : met. No sanction, regulator warning or manipulation targeting LTC was found; the creator is identified and the richest address holds 3.05% of the coins. The exploitation of the MWEB flaw in 2026 is a resolved technical incident, not a deception of buyers.
  7. Réseau ouvert et généraliste : met. un outil neutre

Tolerance case

T1. LTC is the native currency of an open network, maintained by decentralized users and whose software is under the MIT license; no issuer earns revenue from holding (T2 case not applicable). The network includes an optional confidentiality layer (MWEB) and, since June 2025, a smart contract layer 2 (LitVM).

Opinions found during the research

Opinions reported as read, named for what they are; they do not enter into the calculation of the verdict.

What could not be verified

Sources read

Other cryptos analyzed

General information: neither investment advice nor a fatwa. Verdict calculated by published rules, from financial statements read automatically and not reviewed by a human. Read the methodology