This paper aims to investigate the feasibility, challenges and issues, as well as acceptance towards a proposal to apply cash waqf (endowment)—mudarabah (profit and loss sharing) model through financial technology (fintech) for Islamic microfinance in Malaysia. This model must be offered to limit hazards and alleviate the poverty among the Malaysian people in poverty. This paper examines the perspectives of Yayasan Wakaf Malaysia (YWM), Amanah Ikhtiar Malaysia (AIM), and Islamic microfinance recipients through semi-structured interview which comprises of nine main questions, which were analysed through inductive coding. This study is one of the initial efforts to propose a model that integrates fintech with Islamic microfinance, specifically serving as a substitute for Rabb Al-Mal (investor). The results demonstrate that the proposed model has the potential to substantially reduce risk exposure for Islamic microfinance institutions. The initiative has the potential to enhance community benefits by streamlining processes, allowing institutions approve and sign agreements online, thereby reducing dependence on traditional methods. The implementation of this model encounters various challenges and risks from both providers and recipients, such as regulatory issues, repayment failures, resistance to technology adoption, and inadequate infrastructure. The study examined viewpoints from regulatory bodies, institutions, and the general public concerning the acceptance of model. The research, while contributory, is constrained by its emphasis on an online context, time limitations in recruiting further interview participants, and insufficient prior literature, resulting in notable gaps in the study.