BLOCKCHAIN TECHNOLOGY INTO WAQF MANAGEMENT: A FRAMEWORK FOR TRANSPARENT AND ACCOUNTABLE ISLAMIC SOCIAL FINANCE
DOI:
https://doi.org/10.33102/z6kh9h55Keywords:
Blockchain technology, Waqf governance, Islamic social finance, Transparency and accountability, Sustainable waqf managementAbstract
Waqf is a core Islamic social finance instrument intended to generate sustainable socio-economic benefits, yet waqf administration in Malaysia continues to face issues of transparency, accountability, record fragmentation and stakeholder trust. This paper develops a governance framework for integrating blockchain technology into waqf management to strengthen transparent reporting, auditable accountability and integrity of waqf fund flows. Using a qualitative design based on document analysis and semi-structured interviews with six respondents from financial planning, trading, takaful, accounting and Shariah advisory backgrounds, the study examines current waqf processes, stakeholder verification needs, blockchain system requirements and regulatory readiness. The findings show that blockchain can improve waqf governance when deployed as a permissioned system with role-based access, maker-checker controls, Shariah review, immutable audit logs, standardized data fields and privacy-preserving dashboards. However, the technology must be supported by clear legal recognition, Shariah governance protocols, cybersecurity controls, data quality rules and national implementation parameters. The paper proposes a Permissioned Waqf Chain framework that links collection, documentation, fund management, project development, asset administration and beneficiary distribution through auditable records and controlled transparency. The framework contributes to Islamic social finance by positioning blockchain as a governance infrastructure rather than merely a fundraising tool.
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