UAE to Include Crypto Framework in their 2021 Business Agenda
The financial watchdogs in the UAE are looking towards developing a detailed crypto framework in their business agenda of 2021.
The United Arab Emirates is one of the progressive nations regarding cryptocurrency. Government-owned licensing has enabled the customers to use digital assets to pay for their trade license fee and visa. The regulatory body, Financial Services Authority, has declared that it plans on incorporating the holistic crypto regulatory framework.
Due to its crypto-friendly policies, Ripple has decided to open its office in the region. Moreover, UAE is known to work along with Saudi Arabia on a joint central bank digital currency. This joint venture is known as “Project Aber”.
Mazdak Rafaty, the managing partner for Ludwar International Consulting FZC, told Cointelegraph, “If you ask anyone from the tech and startup sector anywhere in the world about the speed of regulations of the authorities, you will get the same answer: ‘It could definitely be faster.’ However, UAE has always been a pioneer in the adoption of new technologies and building support regulatory frameworks for their development.”
Blockchain has been discovered as a novel disruptive tech long ago by the UAE regulators. Due to this, many government organizations were recommended not to aid in its development but use their perks within e-government strategy. It is believed that even though the adoption was quick but it took more time to understand and regulate the currency.
UAE is formulating a foundation for a digital ecosystem. Abu Dhabi was also one of the first regions to develop a thoroughly planned framework regarding crypto exchanges. Businesses in the region have swiftly warmed up to the use of the blockchain system. Now in the business agenda of 2021, it is hoped that the regulators will be working on making the digital currency and blockchain more secure to avoid financial crimes.
