Malaysia’s Labuan Financial Services Authority (FSA) has provided licenses to Fasset to rollout what they call the “world’s first stablecoin islamic digital bank”.
This positions Fasset, a Dubai-based fintech company as a revolutionary in Shariah-compliant banking for underserved markets across Asia and Africa.
Operating within a regulated sandbox, Fasset’s super app will blend the trust of traditional banking with cutting-edge fintech innovation, while staying “halal”.
Fasset CEO Mohammad Raafi Hossain said the company is “combining the credibility of a global banking institution with the disruptive energy of a fintech pioneer.”
Islamic finance rooted in Shariah principles inherently bans interest (riba), excessive risk (gharar), and investments in industries like alcohol or gambling.
The Labuan FSA license authorizes Fasset to operate within Malaysia’s Labuan International Business and Financial Centre, a respected offshore financial hub.
The approval marks a major milestone for Fasset’s mission to redefine Islamic finance.
The ambitious Stablecoin Islamic Digital Bank
With this license, Fasset’s 500,000 users across 125 countries are able to access deposit-taking services, seamless cross-border payments, and zero-interest banking.
The product will also tailor digital savings, yield products, and investments in US stocks, gold, and crypto to align with Islamic values.
Fasset is very ambitious and aims to mirror the meteoric rise of Latin America’s NuBank but for regions where financial access remains limited.
In fact, the fintech firm is gearing up to issue a crypto debit card for everyday spending. They also aim to launch “Own,” an Ethereum layer-2 solution built on Arbitrum for settling real-world assets.
Fasset already has licenses in the UAE, Indonesia, Turkey, and the EU, rapidly expanding its global footprint.
Stablecoin Islamic Digital Bank in Malaysia comes to light as stablecoins gain serious traction in global payments.
In September, Visa kicked off a pilot allowing banks to pre-fund cross-border transactions using Circle’s USDC.
Meanwhile, SWIFT has reportedly teamed up with Ethereum’s Consensys and over 30 financial institutions to build a blockchain-based platform for 24/7 real-time payments.
In this context, Fasset’s Stablecoin Islamic Digital Bank signals a brand-new era for Islamic finance, in which stablecoins and blockchain technology flirt with tradition and innovation.
