The Nature of Non-Fungible Tokens (Nfts), their Jurisprudential Adaptation, and the Ruling on Dealing with Them

Abstract

Objectives: The research aims to clarify the nature of non-fungible tokens (NFTs), their jurisprudential classification, the ruling on dealing with them, and the conditions for documentation through them. It also aims to explain the reality of NFTs, how they work, their origins, and the legal rulings regarding their use. The topic was chosen due to its novelty and the pressing need to place it within an appropriate jurisprudential framework. Additionally, the research aims to enrich the Islamic jurisprudential library, particularly with subjects that represent a significant leap in the world of technology.

Methods: The research adopted a descriptive approach to explain the texts related to NFTs, an inductive method to explore how NFTs function technically to arrive at a definition closest to their nature, and an analytical method to analyze the mentioned concepts and the opinions related to them, discussing them and linking them to the closest appropriate jurisprudential classifications.

Results: NFTs can be classified jurisprudentially like seller's ledgers or currency records, which were traditional means of safeguarding rights. In the digital world, NFTs serve as accepted tools for documenting rights, meeting requirements for written documentation such as clarity, decisiveness, and adherence to contract conditions. They also align with e-commerce standards like transparency, continuity, and immutability.

Conclusions: NFTs are decentralized networks used to verify rights and ownership, particularly through Ethereum blockchain. They fulfill the conditions for modern digital documentation. The researcher recommends further studies on NFTs and learning from countries' experiences to identify and address potential issues.