Cryptocurrency License In Dubai_
In the meantime, as it is the case that UAE continues to expand as a hub of fintech firms, the area is the perfect place for entrepreneurs to expand their operations. With the financial system of the UAE under constant scrutiny by international organizations and regulators, it’s a perfect place to start cryptocurrency-related businesses. Its government has been encouraging the entrepreneurial spirit of start-ups and it’s easy to understand the reason. Several fintech firms located in Dubai have raised over $100 million across the Middle East. Another advantage is that Dubai’s regulatory environment is very favorable to crypto companies. At present banks and financial companies are completely regulated in Dubai. Additionally, crypto firms could attract investors as well as large quantities of trading. An environment that is conducive to the development of crypto businesses results in a more favorable investment environment. There are also tax advantages if you set up a cryptocurrency business within the UAE. The legal system of the UAE is rapidly changing and is affected in part by Islamic law. The Federal Law No. 20 of 2018 addresses the issue of money laundering and combats the funding of terrorist and criminal organizations. This AML Executive Regulation applies to all emirates within the UAE including the DIFC. It is the UAE Central Bank that has oversight over the capital and financial markets, while the Securities and Commodities Authority (SCA) supervises these markets. The UAE has made its plans to regulate the sector more explicit by creating an independent authority to oversee the business and protect the public. The ADGM The authority that regulates Dubai has recently approved the first law in the world to regulate digital assets. The law provides a setting that is favorable to crypto-related businesses. This law is a boon to crypto businesses. ADGM was the very first nation in the world to adopt the first law that regulates the cryptocurrency industry. The ADGM has created a regulatory body known as VARA to supervise virtual assets. Additionally, if you’re planning to set up the first crypto exchange in India be aware that you must comply with India’s Exchange Control Regulations.