Modernizing WAQF Governance with Blockchain: A Framework for Transparent, Efficient, and Trust-Based Islamic Social Finance

Abstract

This paper delves into the potential reinvention of "WAQF," a cornerstone of Islamic economic social instruments, through the lens of blockchain technology. The purpose of the research is to investigate the transition of the WAQF principle from its traditional means to a modernized blockchain driven approach, emphasizing trust, transparency, and genuine engagement with this complicated technology. Additionally, the research follows an experimental approach which involves designing and implementing blockchain based architecture for WAQF management. However, the proposed system is tested under various scenarios to evaluate its effectiveness in improving data integrity, transaction transparency, and decentralised process automation. These improvements are expected to enhance stakeholder trust, increase operational efficiency, and ensure better governance of WAQF assets. Consequently, there are highlighted potential challenges which suggest solutions for integrating blockchain with existing WAQF systems. The originality of this paper lies in its experimental approach, combining Islamic finance principles with cutting edge blockchain technology to propose a novel solution for modernizing WAQF.