Dr. Monzer Kahf, a prominent economist and counselor states: “Options are created contracts for the purpose of trading them only. they are not commodities, rights, or services that exist in real world so that people buy and sell them.

Covered or not with an existing goods (the object of the option) they are not related to any specific object that the issuer has and will remain an owner of during the period of the option. They are not real contracts, they are fabricated for trading purpose only.

This is why the OIC Fiqh Academy called them: financial rights that are not recognized for trading in Shari’ah.

On the other hand, options in the general meaning are known and recognized in Shari’ah, for instance you may buy a quantity of corn with an option to increase the order by up to 20% at the same price. Notice that this option is tight to a specific contract.”