Internet makes the physical world seems borderless.With Internet people could communicate, gather various information and doing business transactions in just few clicks away.People could buy commodity-like products and digital products simply from Internet, and get these products sent to their homes or them online.This era is called the E-Commerce era.A lot of conferences and seminars were held pertaining to the e-commerce but only a few brought up matters about e-commerce in the Islamic perspective. To fulfill this gap, the paper will highlight the framework of Islamic E-commerce stressing the key success factors to ensure the successful and the challenges that the Muslims would be facing