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The question

Is it permissible to participate in a transaction where $100 is paid for a card, and payments continue in certain amounts to other people, and profits increase with each person who enters the chain?

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

This transaction involves gambling and consuming people's wealth unlawfully, both of which are forbidden, based on the Almighty's saying: ﴿O you who have believed, indeed intoxicants, gambling, [sacrificing to] stone altars for idols and divining arrows are but defilement from the work of Satan, so avoid it that you may be successful.﴾ Al-Ma'idah/90. And His saying: ﴿O you who have believed, do not consume your properties among yourselves wrongfully, but only [in lawful] trade by mutual consent from you.﴾ An-Nisa/29. This transaction is a type of gambling and because the participant expends money without an equivalent return, hoping to obtain more. Thus, it fluctuates between gain and loss, which is the definition of maysir. The reason this constitutes consuming people's wealth unlawfully is that only those who manage this transaction and a small group of participants reap its financial benefits, while the majority leave with nothing. For this reason, it has been called in some Western countries: pyramids of illusion, or selling air. The Permanent Committee has issued a prohibiting it, stating that it is a type of usury, gambling, and maysir, and that it involves excessive deception ( fāḥish), usury, and gambling, all of which are major sins.

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Where this answer came from
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Ftawy
Original fatwa ID
18755
Imported
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Source text, unreviewed
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