It’s Time for Real Time Settlement

Society should not remain poor and underdeveloped just to adhere to your religious beliefs. I just want to point out one last thing:

> It's very different. With an interest bearing loan, if the company doesn't work out, the lender will come after the borrower with the full support of the law, taking not only his principal, but the interest on top, destroying the latter. With an investment, if it doesn't work out, then the investor has lost his money and is not owed anything. It's risk sharing.

It's absolutely not different. A loan which receives interest in the form of equity is still interest. The lender provides capital in exchange for ownership over the company. Instead of being paid in cash, the lender is paid in equity that ideally becomes more valuable than the original loan amount. That is in no way a charitable act. Also you are not necessarily personally responsible for a loan to your business.

I bet you have never used a credit card, opened a savings account, worked for an employer that has debt, rented a home, rented a vehicle, bought a mortgage, taken a loan for education, made an investment, or ever have any relationship with a financial institution. /s

I'm still waiting for the name of a society that operated without debt or interest.

This is not the argument. Islam does not prohibit all capitalistic practices, as a matter of fact, it's generally pro free market. All it does is it places some boundaries on unethical, immoral, and parasitic practices. Interest is one of those prohibited things. Everything else that is not prohibited goes. Furthermore, Islam pushes people to work and to be self sufficient and not rely on charity. https://sunnah.com/riyadussalihin:296

> Society should not remain poor and underdeveloped just to adhere to your religious beliefs

Strawman argument. The Islamic world during the Islamic Golden Age was prosperous and ahead of everyone in all facets of life, while the rest of the world was in the so called Dark Ages.

> Instead of being paid in cash, the lender is paid in equity that ideally becomes more valuable than the original loan amount.

The difference is in the contract. In an interest bearing loan, the lender is contractually owed a profit. This is not the case in a proper risk sharing model, where the investor is willing to accept a loss. Risk is shared proportionally among both parties. A borrower who defaults will have the lender come after him not just for the principal, but also for the accrued interest, with the full support of the law.

Incidentally, the Quran addresses your very claim that interest is the same as trade: https://quran.com/2/275.

It is very clear that interest is *not* the same as trading and ethical investments.

Renting a house or car is not an interest bearing transaction as I explain in another post here. One main difference is that a rented asset is consumed (e.g. subject to wear and tear), whereas "rented" money isn't. And since you're asking, yes I didn't take on a mortgage, nor opened a savings account (to be fair, the bank opened one for me, and I had to contact them repeatedly to close it).

Furthermore, we have narrations that there will come a time where even people who do not consume interest will be affected by it. We live in those times today, even dealing with fiat currency causes individuals to be affected by interest because it's money printed at will to cover the government's debts:

* https://sunnah.com/ibnmajah/12/142

* https://sunnah.com/mishkat:2818

> I'm still waiting for the name of a society that operated without debt or interest.

All throughout Islamic history until the fall of the Ottoman empire and the subsequent colonization by the West, which pushed its financial institutions in Arabia.

1) I issue on order and close a trade (using a broker as intermediary) 2) i have already provided the liquidity to settle that trade which is already in the broker's control 3) why would the broker need to provide more liquidity to guarantee this trade?

I have the feeling what you say is true but only because there is some finance magic going on that nobody needs but the finance system.

I have tried to look for more information about this DTCC requeriment but couldn't find much.