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The question

What is the ruling on joining the "Compulsory Table" system, in which a participant pays $10 to a company, and it is divided as shares between the company and four other people ($2 for each of them), with the hope that new participants will pay $2 to each of the previous shareholders, and the company will receive $2 as a service fee?

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Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 20261 min readAlso available in العربية
The answer

It is impermissible to engage in hierarchical or network marketing transactions, because they are based on gambling due to the lack of guaranteed profit. A person pays a sum of money hoping for a larger profit, and this is the gambling that Allah has forbidden. Furthermore, there is ignorance regarding how the money is invested, as it is unknown where the company invests the funds, and it may not even invest them at all, which makes these companies "selling air" companies, from which only a few benefit. The people of knowledge have issued fatwas regarding the impermissibility of dealing with them.

Summarized from the full answer at Ftawy · imported

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Where this answer came from
Source platform
Ftawy
Original fatwa ID
17851
Imported
Translation status
Source text, unreviewed
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