Does Islamic Financial Literacy Play a Role in the Acceptance of Cryptocurrency Investment Among Muslim Investor? Fuad Hasyim (a*), Nisful Laila (b)
a) Department of Islamic Economics, Faculty of Economics and Business, Universitas Airlangga, Jalan Airlangga 4-6, Surabaya, Indonesia and Department of Islamic Banking, Faculty of Islamic Economics and Business, Raden Mas Said State Islamic University Surakarta, Jalan Pandawa, Sukohajo, Indonesia
*fuad.hasyim-2023[at]feb.unair.ac.id and fuad.hasyim[at]staff.uinsaid.ac.id
b) Department of Islamic Economics, Faculty of Economics and Business, Universitas Airlangga, Jalan Airlangga 4-6, Surabaya, Indonesia
Abstract
The emergence of technological disruption has led to new innovations in investment instruments. Cryptocurrency is one of the most profitable digital investment options. The emergence of Islamic cryptocurrency is expected to attract Muslim investors amid the issue of contradiction from Islamic law and Sharia compliance. This study aims to analyze the antecedents of Muslim investor acceptance of cryptocurrency investment intention by connecting the moderating influence of Islamic financial literacy. The research approach used the Decomposed Theory of Planned Behavior. The population was Muslim investors who had invested in cryptocurrency through applications such as Binance, Tokocrypto, Indodax, and Pintu. The research area was Soloraya (7 regencies). The sample was obtained from 190 respondents using random sampling with a questionnaire. The data analysis technique used PLS-SEM. The results show that Islamic financial literacy can moderate the attitude and subjective norms toward the intention of Muslim investors to invest in cryptocurrency. Islamic financial literacy has a weakening effect on the attitude of Muslim investors in investing in cryptocurrency, while financial literacy has a strengthening effect on subjective norms of Muslim investors towards cryptocurrency investment. Meanwhile, perceived behavioral control is not able to moderate Muslim investors towards the intention to invest in cryptocurrency. The implication of this study is to recommend that academics and practitioners conduct a comprehensive study of the discourse of Islamic law and cryptocurrency, to develop a blueprint for Islamic cryptocurrency investment that is fully compliant with Shariah.
