What is the ruling on a binary tree marketing company whose products are permissible and meet consumer needs at market price, and it has no geometric shape, no end to the work, no time limit, and its commissions are not from new subscribers but from the company itself, with the possibility of the new subscriber benefiting from the old one? Is there any suspicion of being unlawful or usurious?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
This response is similar to the aforementioned warnings about network marketing systems, and its essence is that if subscribing to the system requires purchasing a product or paying fees, then it is impermissible to subscribe to it. This is because it ultimately becomes a form of gambling, as the primary motivator for purchase is often the anticipated profit, which may or may not materialize. This constitutes "" (excessive uncertainty or risk) and gambling, and the Prophet, peace and blessings be upon him, forbade "gharar."
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/126114
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- Ftawy
- Original fatwa ID
- 126114
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- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
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- Read the full answer on Ftawy