Wafr, a financial technology company focused on developing a global Islamic financial ecosystem, has announced the launch of WafrChain, its first institutional product, following the completion of a pre-seed funding round. The newly introduced platform aims to modernise the Sukuk market by bringing issuance, distribution, settlement, and profit payments together within a single digital infrastructure. Although the company has not disclosed the size of the funding round, it confirmed investments from prominent financial technology leaders, including Coen Jonker, Co-Founder of Tyme Group and former Group Executive at Commonwealth Bank of Australia, and Neal Cross, Co-Founder of PictureWealth and former Chief Innovation Officer at DBS Bank.
Wafr’s founding team brings together experience in Islamic finance, banking advisory, and digital financial services, with professional backgrounds at institutions such as AMP, Commonwealth Bank of Australia, and Macquarie Bank. Through its latest initiative, the company aims to address operational challenges in the global Sukuk market by introducing blockchain-based infrastructure designed to simplify institutional processes and improve transaction efficiency.
Sukuk transactions typically involve several stakeholders, including issuers, trustees, arrangers, Shariah boards, custodians, paying agents, distributors, and investors. Each participant generally maintains separate records and systems, resulting in extensive coordination, manual reconciliation, and additional administrative costs. These complexities can create delays and operational risks, with some Sukuk issuances taking several months or even more than a year to reach the market. Wafr intends to overcome these limitations by providing a unified digital platform that connects the different parties involved throughout the Sukuk lifecycle.
WafrChain is built on a private, permissioned blockchain network that enables participating institutions to operate through a shared digital infrastructure. The platform records essential Sukuk information, including unit prices, profit distribution schedules, maturity dates, and relevant Shariah approvals. The approval of the issuer’s own Shariah board is incorporated before distribution, while Wafr’s Shariah board works with individual issuers to assess the compliance of their respective structures. This approach is intended to support the digital management of Sukuk transactions while maintaining the necessary Shariah governance processes.
The platform also connects Sukuk issuers with distributors and institutional investors, while smart contracts facilitate profit payment arrangements. Settlement can be conducted through fiat currencies using local Real-Time Gross Settlement (RTGS) systems and SWIFT, as well as through stablecoins. Furthermore, WafrChain provides API integration, allowing financial institutions to connect the platform with their existing systems. According to the company, transactions achieve finality in approximately 300 milliseconds, while its privacy architecture ensures that participants can access their own transaction activities without exposing their investment positions to other network members. The network is also designed to maintain operations when only one-third of its nodes remain active.
The launch of WafrChain comes at a time of continued growth in the global Islamic finance industry. According to the ICD–LSEG Islamic Finance Development Report 2026, global Islamic finance assets reached USD 6.5 trillion in 2025, representing a 9% year-on-year increase. Meanwhile, outstanding Sukuk reached USD 1.14 trillion, while annual Sukuk issuance increased by 14.5% to USD 291.4 billion. These figures reflect the expanding role of Islamic capital markets and the increasing demand for innovative financial solutions that can support greater efficiency, accessibility, and market development.
Beyond Sukuk tokenisation, Wafr is planning to expand its institutional technology offerings into other areas, including investment fund tokenisation, tokenised deposits, trade finance, and business-to-business settlement solutions. The company is also developing consumer-oriented financial services, with plans covering global accounts, cross-border remittances, and payment cards. Its broader development strategy includes agentic artificial intelligence and stablecoin-enabled settlement capabilities, with the objective of improving access to financial services for unbanked and underserved communities. These consumer services are expected to be introduced progressively in accordance with applicable regulatory requirements and approvals, working with licensed partners where necessary.
Wafr further positions its financial ecosystem around Shariah-compliant principles while making its services accessible to individuals and businesses of all faiths. The launch of WafrChain represents an important step in the company’s wider strategy to connect traditional Islamic financial structures with emerging digital technologies. As blockchain adoption continues to develop across global financial markets, platforms such as WafrChain could contribute to more efficient Sukuk issuance processes, stronger institutional connectivity, and the broader digital transformation of Islamic capital markets.