Sadaqa (alms) in Islam and how to pay it

What is Sadaqa? (Definition)

Sadaqa (Arabic: الصَدَقَة) is a voluntary act of charity in Islam performed solely for the sake of Allah. Unlike Zakat, which is an obligatory annual levy, Sadaqa has no fixed amount of wealth required and can be given at any time to anyone in need. It is a spiritual tool used to purify wealth, erase sins, and express gratitude to the Creator.

The Divine Economy: Why Your Wealth Introduction Matters

We live in a world of stark contrasts. While some of us debate where to invest our surplus, millions of our brothers and sisters go to sleep expecting hunger as their only companion. It is a painful reality that tugs at the conscience of every believer.

However, Islam offers a profound solution that transforms wealth from a mere possession into a spiritual vehicle: Sadaqa.

This is not just about giving money; it is about liberating your soul from the attachment to the temporary. When you give, you are not losing wealth; you are transferring it from a temporary bank account to an eternal one. This guide explores the depths of Sadaqa and how modern technology, like cryptocurrency, allows you to practice this ancient tradition with unprecedented speed and transparency.

Understanding Sadaqa: A Transaction with the Divine

At its core, Sadaqa is an act of “Taṣadduq” (giving), but the recipient is not merely the person reaching out their hand. The Qur’an underscores a magnificent truth in Chapter 9, Verse 104:

أَلَمْ يَعْلَمُوا أَنَّ اللَّـهَ هُوَ يَقْبَلُ التَّوْبَةَ عَنْ عِبَادِهِ وَيَأْخُذُ الصَّدَقَاتِ وَأَنَّ اللَّـهَ هُوَ التَّوَّابُ الرَّحِيمُ

“Do they not know that it is Allah who accepts the repentance of His servants and receives the charities…”

This verse changes the entire perspective of giving. As Imam al-Sajjad profoundly stated, “Alms goes to the hand of the person in need only after it goes to the hand of God.” When you donate, you are directly engaging with the Divine. The poor are simply the intermediaries who allow you to attain this spiritual proximity.

Sadaqa vs. Zakat: The Critical Distinctions

Many well-meaning donors confuse Sadaqa with Zakat. While both are forms of infaq (spending in the way of Allah), their rules differ significantly.

• Zakat (Obligatory): This is one of the Five Pillars of Islam. It is a mandatory 2.5% levy on wealth that reaches the nisab (threshold) and has been held for a lunar year. It has specific recipients and strict calculation rules.
• Sadaqa (Voluntary): This is purely optional and limitless. You can give $1 or $1 million. You can give it to a relative, a stranger, or a general cause. It is a flexible expression of love for God.
• Other Forms: This also includes Khums (one-fifth tax on gains in some schools of thought) and Fitriyya (charity given before Eid al-Fitr prayers).

The 8 Eligible Recipients of Charity

While Sadaqa is flexible, the Qur’an (regarding Zakat) outlines eight categories of people deserving of aid. These categories serve as the “Gold Standard” for guiding your voluntary Sadaqa to where it is needed most:

1. Fuqara (The Poor): Those with absolutely no income or assets.
2. Masakin (The Needy): Those who have some income but not enough to meet basic survival needs.
3. Zakat Collectors: Administrators ensuring funds reach the right people.
4. Al-Mu’allafa Qulubuhum: Those whose hearts are being reconciled to Islam (new converts or allies).
5. Emancipation: Freeing those in bondage or crushing debt.
6. The Debtors: Individuals overwhelmed by legitimate debts they cannot repay.
7. In the Cause of Allah: Funding for projects that defend or promote Islamic values.
8. Ibn al-Sabil (The Wayfarer): Travelers stranded without resources to return home.

Modern Philanthropy: Why Give Sadaqa via Crypto?

In the Golden Age of Islam, charity was handed over as gold dinars. Today, we have a tool that aligns perfectly with the Islamic principles of Amana (Trust) and Efficiency: Blockchain technology.

Why are modern philanthropists switching to crypto donations?

1. Absolute Transparency (Amana): One of the biggest concerns for donors is, “Did my money actually help?” With blockchain, every transaction is recorded on a public ledger. It allows for a level of transparency that ensures your Sadaqa is not lost in bureaucracy but is verifiable.
2. Speed Saves Lives: Traditional banking systems can take days to process international transfers, especially to conflict zones where help is needed most. Cryptocurrency transfers happen in minutes. When a family is hungry, or a disaster strikes, that speed is the difference between life and death.
3. Lower Fees, More Impact: Intermediaries and banks take a cut of your charity. Crypto transactions often have negligible fees, meaning nearly 100% of your donation reaches the Masakin and Fuqara.
4. Anonymity and Sincerity: The Qur’an praises “Secret Alms” (2:271) as a way to protect the giver from arrogance and the receiver from shame. Crypto allows for pseudonymous giving permitting you to donate substantial amounts without seeking worldly applause.

Etiquette of Giving: How to Pay Sadaqa Correctly

To ensure your Sadaqa is accepted by Allah, certain spiritual conditions must be met. The physical act of transfer is easy, but the state of the heart is complex.

• The Forbidden Pitfalls

1. Pretentiousness (Riya’): If you give solely to get “likes” on social media or praise from peers, the spiritual reward is nullified.
2. Reproach (Mann): Reminding a beneficiary of your favor (“Remember when I helped you?”) or treating them with condescension destroys the act. It hurts the dignity of the believer.

• The Praised Methods

1. Secret Giving: Keeps the intention pure between you and Allah.
2. Public Giving: Permissible if the intent is to encourage others to give, serving as a beacon of generosity in a community that needs hope.

The Massive Spiritual Rewards

Why do the righteous race to give Sadaqa? Because the return on investment (ROI) is divinely guaranteed.

• A Shield Against Calamity: Imam al-Baqir teaches that Sadaqa protects the donor from “70 sorts of catastrophes” and prevents a terrible death.
• Extinguishing Sins: Just as water extinguishes fire, charity extinguishes sins.
• The Shade of Mercy: On the Day of Judgment, when there is no shade, the believer will stand under the shade of their charity.
• Crossing the Sirat: Imam al-Sadiq described alms as a facilitator for crossing the Sirat Bridge the perilous path to Paradise.

The Abundant Blessings of Sadaqa

The virtues and blessings associated with giving Sadaqa are extensively highlighted in numerous hadiths, promising both worldly and otherworldly rewards:

• Protection from Calamities and Terrible Death:

Imam al-Baqir, a revered Imam, stated: “Sadaqa protects one from 70 sorts of catastrophes as well as terrible death. For a person who gives alms will never undergo a terrible death.” This highlights the protective power of charity against unforeseen misfortunes.

• Longevity:

The Prophet Muhammad (peace be upon him) said: “Sadaqa and family ties (silat al-rahim) liven up cities and bring longevity.” This emphasizes the role of charity in fostering healthy communities and extending life.

• Physical Healing:

According to a hadith, it is recommended to “Heal your sick relatives by giving sadaqa.” Another tradition specifically suggests that a sick person should give Sadaqa with their own hand, highlighting its potential for spiritual and physical healing.

• Removing poverty:

according to a hadith from Imam al-Baqir (a), Beneficence and sadaqa remove poverty.

Can I pay Sadaqa using Cryptocurrency like Bitcoin or Ethereum?

Yes, giving Sadaqa via cryptocurrency is permissible and highly efficient. Many Islamic scholars view crypto as a valid digital asset (mal). Donating crypto often ensures faster transfer speeds to conflict zones and lower transaction fees compared to traditional banking, ensuring more of your contribution reaches the needy.

What is the main difference between Zakat and voluntary Sadaqa?

Zakat is a mandatory religious duty (2.5% of qualifying wealth) required of every financially stable Muslim annually. Sadaqa, however, is a completely voluntary act of kindness or financial giving with no minimum amount, which can be performed at any time to seek Allah’s pleasure and purify one’s wealth.

Does giving Sadaqa decrease my wealth?

No, according to Islamic teachings, Sadaqa does not decrease wealth. The Prophet Muhammad (peace be upon him) explicitly stated that charity never diminishes wealth. Instead, it brings “Barakah” (increase and blessing) to one’s remaining assets and serves as a spiritual investment for the Hereafter.

Your Wealth is Waiting to be Purified

Sadaqa is not a burden; it is a privilege. It is an opportunity to be an intermediary between Allah’s mercy and His suffering servants. Whether you give a cup of water or a Bitcoin, the weight of the deed depends on your sincerity.
In an era where we can move value across the world in seconds, we have no excuse to let our neighbors starve. Use the blessings of technology to secure your blessings in the Hereafter.

Do not wait for a “better time.” The best time to give is when the thought of charity crosses your heart.