The Malaysia-based fintech firm’s GOLDX covers all the principles that are the cornerstones in Islamic financial contracts.

HelloGold, a Malaysia-based firm disclosed that it has received a sharia-compliant certification for its gold-backed cryptocurrency; it plans on launching its online gold platform in Thailand later this year.

GOLDX, its cryptocurrency product which was launched at the end of December 2017, has now received certification from Amanie Advisors, a Malaysia-based Islamic finance consultancy, said Manuel Ho, HelloGold’s chief marketing officer.

Unlike its peers, GOLDX is backed by the availability of physical gold stored at a vault in Singapore; further, it restricts transactions in the cryptocurrency within a well defined time, said Ho.

This means that the issue and sale of GOLDX is auditable, has adequate transparency, certainty and immediacy of transactions – principles that are of paramount importance in Islamic financial contracts.

The development underscores how fintechs are extending their services to cover markets in Southeast Asia and the Middle East as they increase their marketshare in Islamic finance.

In 2017, HelloGold had already launched a blockchain based mobile app in Malaysia which allows its users to buy and sell physical investment grade gold that is certified by Amanie Advisors.

In the coming months, HelloGold plans on expanding its gold platform to Thailand and potentially cover a third market as well by the end of 2018, said Ho.

HelloGold is also exploring other unspecified assets for its blockchain technology.