In 2023, the HAQQ Network and its native cryptocurrency, Islamic Coin (ISLM), emerged as the most prominent Islamic Web3 project globally. Its ethics-first and Shariah-compliant approach largely appealed to the global Muslim population, who always felt a lack of inclusivity in the rapidly developing Web3 and blockchain space.

The project laid a strong foundation last year, receiving significant media coverage across global tier-1 crypto publications and major fintech outlets in the Middle East and establishing a community of over 1.5 million members. Islamic Coin’s advisory board also boasted several members of the UAE ruling families. This robust foundation had a tangible impact on the project’s presale phase, as ISLM raised over $200 million in private sales and an additional $200 million secured through an investment deed.

What were the challenges for Islamic Coin in 2023?

Despite a strong technological foundation, growing community support, and positive presale rounds, the Virtual Asset Regulatory Authority (VARA) launched a rigorous investigation into the project. However, the HAQQ network effectively cooperated with the regulators, which led VARA to end the investigation without any enforcement or allegations.

“Despite the challenges posed by the investigation, we remained committed to cooperating with the regulator and providing all necessary documentation to prove our compliance with the VARA rulebook,” said Alex Malkov.

The negative fallout from the VARA investigation impacted Islamic Coin’s listing efforts. Initial agreements with top-tier exchanges faltered as these platforms expressed last-minute concerns over perceived risks, leading to unexpected delays and complications in making ISLM available to a broader audience.

Amid these trials, the project also faced targeted negative media coverage. A specific media outlet launched a disinformation campaign against HAQQ, which the network’s leaders refused to quell through paid promotions, standing firm in their values of transparency and integrity.

“We will continue to fight against misinformation and Islamophobia in all its forms, united in our goal of building a more inclusive and equitable financial ecosystem,” said Malkov.

Moving past these adversities, HAQQ Network has emerged with renewed focus and a clear vision for the future.

HAQQ’s Vision: An Ambitious Roadmap

Central to this strategy is launching a gold token in June, a significant development in the HAQQ network’s broader move towards the tokenization of Real-World Assets (RWA). According to the roadmap, this initiative aligns with Islamic financial principles, which emphasize real economic activity and asset backing in financial transactions. Users will be able to exchange the token for real gold; it will also integrate other investment commodities and potential securities in the future. With this launch, HAQQ wants to take blockchain and Web3 advancements towards tangible real-world applications.

Beyond tangible assets, HAQQ Network is also set to tokenize Islamic financial products. This process involves converting financial instruments (e.g. Sukuk) into blockchain tokens, thereby enhancing the liquidity, accessibility, and efficiency of these products.

Adding to these innovations, HAQQ has announced the introduction of VISA cards denominated in ISLM, specifically targeting EU residents. These cards represent a significant step towards integrating Islamic digital assets with conventional financial services

Listings, HAQQ Wallet, and Shariah-Compliant User-Centric Features

Despite facing numerous hurdles, HAQQ Network has achieved notable success that underscores its resilience. Islamic Coin has been listed on various cryptocurrency exchanges. This includes prominent centralized exchanges like Kucoin, LBank, XT, and MEXC, as well as decentralized platforms such as Sushi, Osmosis, and Uniswap.
Furthermore, the launch of the non-custodial HAQQ wallet represents a pivotal development in empowering users.

As we review the journey and forward-looking strategies of the HAQQ Network and its Islamic Coin (ISLM), the project’s resilience is evident. The ambitious roadmap for 2024 and beyond sets a strong foundation for HAQQ’s comeback through the development of new products and the upcoming overall expansion of the ecosystem.

Looking ahead, the confidence in HAQQ Network’s potential is well-founded. With its strategic initiatives and ongoing community engagement, the network is well-positioned to redefine Islamic finance within the Web3 ecosystem, promising a future where financial inclusivity and compliance with the Shariah law go hand in hand.

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