Cryptocurrency News in Dubai 2022

Several top exchanges from across the world have established a presence in Dubai, making it an attractive place for investors. The city’s regulatory framework has been developed to ensure the protection of crypto investors. The Virtual Asset Regulatory Authority (VARA) has shown an affinity for emerging technologies and has partnered with a virtual reality platform known as The Sandbox. In addition, it will open a branch in the metaverse to better service the region’s digital currency investors.

Regulation of virtual assets

Dubai is one of the first jurisdictions in the world to adopt a law governing virtual assets, as well as create a regulatory body to oversee the sector. As the financial capital of the region, Dubai has long pushed for the regulation of this new industry. Generally, virtual assets encompass crypto and non-fiat currencies. However, the announcement did not specify which assets would be covered by the new law.

To provide virtual asset services in the Emirate of Dubai, businesses must obtain a license from the VARA. This license is issued only to entities that operate within the Emirate and are authorized to do business in the Emirate of Dubai. The VARA’s mandate includes regulating virtual asset trading and preventing price manipulation. It also aims to enforce high standards for the protection of the personal information of beneficiaries.

In March of this year, Dubai issued a new law governing the regulation of virtual assets. The law established a new regulatory body called the Dubai Virtual Assets Regulatory Authority. Virtual assets are digital representations of value that can be transferred, traded, and used as payment. Some examples of virtual assets include cryptocurrencies and non-fungible tokens.

Investment opportunities

Dubai is a prime location for investors interested in digital assets. The economy of the UAE is robust, with a projected GDP of $358 billion by 2020. The region is particularly attractive for crypto investors because it is considered one of the most accepting regions for cryptocurrency. The country’s most important export is oil, and as conflicts in Eastern Europe and the rise of superpowers increase the global demand for oil, the country is in a prime position to take advantage of this trend. Also, the regulatory environment is friendly to the crypto industry. The regulatory body known as the VARA oversees crypto activity in the UAE and provides the necessary framework for the industry to operate.

The UAE has recently stepped up its efforts to attract FDI into the crypto sector. In addition to announcing a new law to facilitate investment, it has also created a regulatory framework to make it easier for companies to do business in the country. This move has helped Dubai position itself as a global hub for crypto, including NFTs and blockchain technology. This means that Dubai has a great opportunity to become the next crypto capital.

Exchange-traded funds

As the Middle East’s financial hub, Dubai is now home to some of the world’s leading crypto companies. The UAE has been allowing leading exchanges to operate in the country, including Binance, CryptoCom, OKX, and FTX. In addition, some businesses and even luxury hotels have started accepting Bitcoin and some alternative coins. In addition, a Swiss firm has become the first to issue crypto ETNs, which trade under ticker symbols like BTC. These ETNs use the underlying assets of Bitcoin and Ethereum to generate returns.

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21Shares, a global exchange-traded fund (ETP) provider, recently expanded into the UAE. The company’s ETPs are listed on 12 exchanges, including the SIX Swiss Exchange, Deutsche Borse, and Euronext. Moreover, the company also has ETPs listed on Quotrix, Borse Stuttgart, Munchen, and Dusseldorf.

Another notable addition to the UAE’s cryptocurrency industry is the launch of a Bitcoin ETP on Nasdaq Dubai. The cryptocurrency exchange trading product is backed physically by bitcoin assets and has a leverage ratio of 1:1. The new product will be traded on Nasdaq Dubai as “ABTC”. The ETP is 21Shares’ debut in the Middle East.

Expat traders

If you’re a cryptocurrency trader in Dubai, you might have heard some good news recently. The UAE has recently given approval to Binance, a major crypto exchange that will hire over 100 employees to operate in the country. In addition, By bit has been given the approval to open a regional headquarters in Dubai, and FTX is securing a virtual asset license in Dubai. All of these developments are geared towards making the cryptocurrency trading industry regulated and attracting investment.

The UAE is attracting some of the largest cryptocurrency companies in the world. However, it has faced a lot of criticism over its policies on cryptocurrencies, including accusations of money laundering, which could disrupt the existing financial system. That’s one reason why some Chinese cryptocurrency entrepreneurs have chosen Dubai as their new home.

The UAE government has also taken a soft approach to regulate the cryptocurrency market. Its government is planning to establish a special unit for regulating crypto trading and financial reporting. The unit will also focus on the small business sector. As a result, it’s important for ex-pat traders in the UAE to report their crypto investments and keep detailed records of their transactions.

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