HCS Score
80/100
These are absolute prohibitions in Islamic finance. If any red line is triggered, the asset is automatically classified as HARAM.
Riba Exposure
Not an interest-based lending or borrowing protocol
Gambling / Betting
No gambling or betting mechanism
Haram Industry
Not involved in haram industry
The asset is scored across 7 Shariah principles.
Based on Red Line Screening and HCS Scoring.
Halal
This cryptocurrency is evaluated as Halal for investment and use because it shows strong alignment with CoinStudy HCS principles.
Explanation
This asset demonstrates strong Sharia compliance with real utility and transparent financial structure.
Reviewed by
CoinStudy Shariah Board
Football is the world's most popular sport — and it has a passionate fan engagement problem.
Supporters of major clubs feel increasingly disconnected from the organizations they love. Ticket prices rise while fan influence over club decisions falls. Digital fan experiences are fragmented. The relationship between clubs and their global communities — spanning millions of followers across dozens of countries — is mediated almost entirely through passive content consumption rather than meaningful participation.
Chiliz was built to change this through blockchain technology. By creating a tokenized fan engagement platform, Chiliz allows football clubs, basketball teams, esports organizations, and other sports entities to give their fans a genuine mechanism for participation — voting on club decisions, accessing exclusive experiences, and engaging with the teams they support in meaningful ways.
For the large Muslim sports fan community globally — particularly in countries where football passion is intense and blockchain adoption is growing — the question about Chiliz is both natural and important.
We ran CHZ through the full CoinStudy Halal Crypto Standard (HCS) methodology. Here's the complete picture.
Chiliz passes the CoinStudy HCS Sharia red-line screening with no violations. It scores 80 out of 100 and is classified as Halal — at the minimum threshold for halal classification. It has genuine fan engagement utility, real sports organization partnerships, no built-in interest mechanism, and a clearly service-based economic model.
A score of exactly 80 means Chiliz qualifies as Halal — but it sits at the boundary, and the concerns that prevent a higher score deserve honest and careful explanation.
Chiliz is a blockchain ecosystem created to connect sports organizations and entertainment brands with their global fan communities through blockchain-powered engagement systems.
The platform enables fans to purchase fan tokens — digital assets that give holders voting rights in club polls, access to exclusive experiences, rewards, and community participation. Major football clubs including FC Barcelona, Paris Saint-Germain, Juventus, Arsenal, AC Milan, and dozens of others have launched fan tokens through the Chiliz platform.
CHZ is the base token of the Chiliz ecosystem — used to purchase fan tokens, pay for platform transactions, and participate in ecosystem operations. The Chiliz Chain is the blockchain infrastructure supporting all of this activity.
Chiliz operates through a two-layer system. The Chiliz Chain provides the blockchain infrastructure. Fan tokens — specific to individual clubs — are the products that deliver fan engagement utility.
When a fan holds a club's fan token, they can participate in voting polls that clubs run on the Socios platform — which team bus color should we use? which charity should we support this season? which song should play before kickoff? These polls give fans a genuine participatory role that didn't previously exist at scale.
Fan token holders also receive access to exclusive club experiences, VIP rewards, digital collectibles, merchandise discounts, and other engagement benefits depending on the club's specific offerings.
CHZ is the gateway currency — fans need CHZ to purchase fan tokens, creating real demand tied to actual fan engagement activity.
Chiliz's fan engagement model has specific characteristics worth examining from an Islamic finance perspective.
The core economic relationship is clear — fans pay for tokens that provide genuine participation rights and exclusive access. This is a service payment model. You pay for something and you receive it. The transaction is clear, the value is identifiable, and the purpose is legitimate entertainment engagement.
This is fundamentally different from speculative financial instruments or yield-generating products. You're not investing capital expecting returns. You're purchasing access to fan experiences and voting participation — a digital form of what physical match tickets and membership programs have always provided.
From this perspective, CHZ's underlying service model is permissible and makes genuine economic sense as a blockchain application.
This is where the assessment requires honest acknowledgment of the tension in Chiliz's ecosystem.
Fan tokens — while providing genuine participation utility — have also become actively traded speculative assets on cryptocurrency exchanges. Their prices fluctuate dramatically based on team performance, transfer news, tournament results, and broader crypto market sentiment. A club that unexpectedly wins a major trophy might see its fan token surge 50% in hours. A disappointing season might see it fall 70%.
This creates a split identity for fan tokens — genuine participation mechanism on one hand, speculative trading vehicle on the other. Many participants who hold fan tokens are not primarily interested in voting on bus colors or accessing exclusive experiences. They're speculating on price movements based on sporting outcomes.
That speculative market layer creates elevated Maysir concerns — not in the core platform design, but in how a significant portion of participants actually use and interact with fan tokens.
The Maysir score of 10 out of 15 and the Gharar score of 11 out of 15 honestly reflect this tension. The platform purpose is clear and permissible. The secondary market behavior introduces concerns.
Chiliz is not built around lending markets, borrowing systems, savings products, interest-bearing accounts, or debt-based financial services. The ecosystem is centered on fan participation and digital engagement services rather than credit or financing activities.
The score of 23 out of 25 on Financial Exposure Risk reflects this clean financial structure with a small deduction for indirect ecosystem exposure as the platform hosts various digital token products.
The Chiliz platform itself provides clear utility through fan engagement services. The service model — CHZ for fan token access, fan tokens for participation rights — is understandable and transparent.
However, secondary fan token markets introduce meaningful uncertainty. Fan token prices fluctuate based on sporting performance, team news, media attention, and crypto market cycles. The relationship between these price drivers and the genuine utility value of voting participation is loose — creating uncertainty that goes beyond normal service market dynamics.
The Gharar score of 11 out of 15 reflects this mixed picture — clear platform utility alongside secondary market uncertainty.
Chiliz's core platform is not designed as a gambling system. Fan engagement and voting participation are legitimate activities that don't inherently involve gambling-like behavior.
But the speculative trading activity in fan token markets is real and significant. When fans buy fan tokens primarily hoping the team wins a trophy so the token price rises — rather than for the voting rights and exclusive access — that motivation is speculative rather than participatory.
The Maysir score of 10 out of 15 honestly reflects this dual reality. The platform purpose is legitimate. The secondary market behavior of many participants creates genuine caution.
Chiliz clears every hard red line.
Riba Exposure — ✅ Passed. Not a lending or interest-based protocol.
Gambling and Betting — ✅ Passed. No gambling mechanism exists in the platform.
Haram Industry — ✅ Passed. Sports fan engagement is not a prohibited industry.
Guaranteed Interest — ✅ Passed. No guaranteed interest obligations.
Synthetic Interest Products — ✅ Passed. No synthetic interest instruments.
No red line violations were found. Chiliz is fully eligible for HCS scoring.
Chiliz is scored across 7 Shariah principles with a total of 100 points.
On Financial Exposure Risk, weighted at 25%, CHZ scores 23 out of 25. Clean financial structure with no lending or yield products. Small deduction for indirect ecosystem exposure through various digital token products hosted on the platform.
On Gharar and Uncertainty, weighted at 15%, CHZ scores 11 out of 15. Clear platform utility with genuine service model. Deductions for secondary fan token market uncertainty and the loose relationship between fan token prices and genuine utility value.
On Maysir and Speculation, weighted at 15%, CHZ scores 10 out of 15. Legitimate fan engagement purpose at the platform level. Meaningful deductions for speculative trading behavior in fan token markets where price speculation on sporting outcomes is a significant driver of market activity.
On Underlying Business Activity, weighted at 15%, CHZ scores 13 out of 15. Sports and entertainment fan engagement infrastructure is permissible and genuine. Small deduction for the speculative market layer that has developed around what should be purely participation-based tokens.
On Utility and Real Use, weighted at 10%, CHZ scores 8 out of 10. Real partnerships with major sports organizations and genuine fan engagement utility. Deduction reflects that actual participation in voting polls and fan experiences remains limited relative to the broader speculative trading activity surrounding fan tokens.
On Tokenomics Fairness, weighted at 10%, CHZ scores 7 out of 10. Token distribution concerns around initial allocations — common to projects that raised capital from institutional investors. The platform's commercial model creates some questions about the balance between fan utility and investor returns.
On Transparency and Governance, weighted at 10%, CHZ scores 8 out of 10. Transparent partnerships and publicly documented platform operations. Governance is centralized through the Chiliz organization — appropriate for a commercial platform but different from community-governed protocols.
Overall HCS Score: 80 out of 100 — Halal
A score of exactly 80 is the minimum threshold for Halal classification under the CoinStudy HCS framework. This is worth understanding clearly — Chiliz qualifies as Halal, but just barely.
The primary factors holding the score at exactly the boundary are the Maysir concerns around fan token speculation, the Gharar from secondary market dynamics, the tokenomics fairness questions, and the gap between genuine fan engagement utility and the speculative trading that has developed around fan tokens.
Chiliz's service model is permissible. The fan engagement purpose is legitimate. But the speculative layer that has grown around fan tokens creates concerns that prevent a higher rating.
Muslim investors should engage with Chiliz understanding that it occupies the most cautious end of the Halal classification — not with the confidence of an 85 or 90 score project.
This is worth stating directly for Muslim sports fans who are also crypto investors.
Using fan tokens for their intended purpose — participating in club votes, accessing exclusive fan experiences, engaging with your club's community — is the legitimate use case. If you're a passionate supporter who values the genuine participation these tokens provide, that engagement has a clear permissible rationale.
Buying fan tokens primarily because you think the club will win a tournament and the token price will rise is speculation. That's a different motivation with different Islamic finance implications — and it's the motivation that creates the Maysir concerns reflected in the score.
The distinction between participating fan and speculating trader is the most important question a Muslim CHZ holder should honestly answer about their own motivations.
Before investing in Chiliz, ask yourself honestly:
Am I interested in CHZ because I genuinely value the fan engagement utility — the voting participation, the exclusive access, the community involvement? Or am I primarily hoping the price rises? Do I understand that a score of 80 places Chiliz at the minimum Halal threshold — meaning it qualifies but with significant concerns? Am I being honest about my primary motivation — genuine fan participation or speculative price exposure? Would I still hold CHZ if fan token prices became stable and didn't fluctuate with team performance?
The honest answers to these questions matter more than the score itself.
Chiliz (CHZ) is generally considered halal under the CoinStudy Halal Crypto Standard with a score of 80 out of 100 — the minimum threshold for halal classification.
It serves a legitimate and genuinely interesting technological purpose — connecting sports organizations with global fan communities through blockchain-powered participation systems. It operates without built-in interest mechanisms. It has real partnerships with major sports organizations and genuine fan engagement utility.
The concerns — fan token speculation in secondary markets, Gharar from price volatility tied to sporting outcomes, tokenomics questions, and the gap between intended use and actual market behavior — are real and honestly reflected in the score. They place Chiliz at the minimum halal boundary.
For Muslim investors who are genuine sports fans seeking to engage with their clubs through blockchain technology — Chiliz provides a permissible path to do so. For investors primarily seeking price appreciation from fan token speculation — the Maysir concerns are real and should be honestly considered.
Disclaimer: This analysis is provided for educational and research purposes only. This analysis is based on guidance from CoinStudy's HCS Shariah Board members. CoinStudy does not issue personal fatwas or financial advice. Please consult a qualified Islamic scholar for individual guidance.
Guaranteed Interest
No guaranteed interest obligations
Synthetic Interest Products
No synthetic interest instruments
No Red Line Violations
This asset passed all Sharia red line checks.
Financial Exposure Risk
25%Indirect financial exposure to interest-based & yield products
Gharar / Uncertainty
15%Clarity in contracts and absence of excessive uncertainty
Maysir / Speculation
15%No gambling-like mechanics or high speculation design
Underlying Business Activity
15%The nature of the project's core business is permissible
Utility / Real Use
10%Genuine utility and real economic value
Tokenomics Fairness
10%Fair distribution, no exploitation, sustainable tokenomics
Transparency & Governance
10%Open-source, audited, clear governance structure
