Hafiz Muhammad Ameen
This type of sale was common in the Age of Ignorance (Jahiliyyah). A man would have a pregnant she-camel. Someone would make a deal with him that the fetus in this she-camel’s womb, after it is born, and then after it grows up and itself becomes pregnant and gives birth, for the price of that offspring I will pay you now. That offspring will be mine. This is the “forward sale (bay‘ al-salam) of the fetus of a fetus.” This is impermissible because it is not known whether the current fetus is even female, whether it will be born healthy or defective, whether it will live until it becomes pregnant, then whether it will become pregnant, and then whether it will be able to give birth. When none of these things are known, then what is the sale actually for? This is also called a sale of deception and uncertainty (gharar), and moreover, the item being sold is not even in the possession of the seller. In other words, it is prohibited for several reasons.
Another meaning of this sale could be that something is sold and the time for payment is set as the birth of the fetus of a fetus, or the money is given in advance and the item is sold, with the price being set as the birth of the fetus of a fetus. All these forms are prohibited because the term is unknown. It is not known whether it will even occur or not, and if it does, then when? The time for payment should be clear and known, for example: a specific date, month, or year, or the wheat harvest, or the beginning of winter, etc.
Source: Sunan Nasa'i: Translation and Benefits by Shaykh Hafiz Muhammad Amin Hafizullah, Page: 4626