What is the ruling on working for a company that operates on an electronic multi-level marketing system, where purchasing one of its products is a condition for working, and the worker earns a commission from everyone who buys through them?
It is not permissible to participate in the company's network marketing program if it stipulates purchasing a product to obtain membership, because the buyer does not intend the commodity but aims to profit from commissions. This is considered prohibited gharar (deception/excessive risk) because the probability of loss is much greater than the probability of gain. It is not merely brokering; a broker receives a fee, whereas in pyramid marketing, the marketer pays to become a marketer, and the goal is to attract new marketers so that the company profits from the total number of members, while the rest lose what they paid.
Summarized from the full answer at Ftawy · reviewed Sep 2, 2026
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