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Islamic Finance

IsDB Institute secures US patent for ‘Proof-of-Use’ blockchain model


The Islamic Development Bank Institute (IsDBI) has received a US patent for a blockchain consensus mechanism known as Proof-of-Use (PoU), a system designed to support digital financial services and expand innovation in the Islamic fintech sector.

The mechanism allows participants to validate blockchain transactions based on their level of activity on the network rather than computing power or financial stake. IsDBI said the model is intended to encourage wider participation in digital finance while improving efficiency and reducing energy consumption.

Alternative to existing blockchain models

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Muhammad Ali Bandial