The UAE (United Arab Emirates) is working hard to ensure its presence in the field of digital assets. They have also taken various efforts to promote the adoption of blockchain-based technologies.
According to the CEO of Bittrex Global Cryptocurrency Exchange Stephen Stoneberg, Dubai and the United Arab Emirates are jurisdictions that are very friendly to the crypto industry.
Dubai benefits from local regulations
In an interview on Sunday, Bloomberg said that the expansion of the cryptocurrency market to the Middle East is more likely to benefit Dubai as local regulators continue to accept blockchain-related technologies.
Stenberg said Dubai and the United Arab Emirates are doing appropriate things and attracting various regional projects within the crypto industry. According to his speech, due to the status of the region providing tax havens, these jurisdictions provide ideal places to establish token projects or operate cryptocurrency exchanges.
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As data from the Tax Judicial Network shows, in March 2021, the United Arab Emirates, along with Bermuda and Switzerland, became the world’s largest fast-growing tax haven.
Stenberg declared, “In my opinion, Dubai will benefit a lot.” He added that Bittrex is now showing more signs of expansion and is gaining more customers in the region. Bittrex Global is the global cryptocurrency trading platform of Bittrex Exchange. It is one of the largest cryptocurrency exchanges in the United States.
In September 2019, the global exchange was officially launched, headquartered in Liechtenstein. Bittrex global obtained a license to operate a cryptocurrency exchange last year, although they are still under the supervision of the Bermuda Monetary Authority.
Currently, the United Arab Emirates is ensuring its presence in the digital asset industry. A few months ago, Minister of Economy Abdulla Touq Al marri announced that asset tokenization and cryptocurrency will become the main plan to promote the country’s economic growth in the next 10 years. In addition, the United Arab Emirates joined the global CBDC (Central Bank Digital Currency) competition in July last year.
Dubai’s cryptocurrency regulations
This year, the DFSA (Dubai Financial Authority) and the regulators of the Dubai International Financial Center started various encryption-related regulations. They intend to establish a regulatory structure for various digital assets in 2021.
The cryptocurrency market is on an upward trend | Source: Crypto Total Market Cap on TradingView.com
According to reports, the financial institution is preparing to launch two consultation documents related to cryptocurrencies as one of its 2021 business plans.
The Dubai Financial Services Authority, Dubai International Financial Center and financial regulators in the unique economic zone plan to promote local encryption-related regulations.
The goal of the Dubai Financial Services Authority is to create a regulatory structure for multiple digital assets.
Featured image from Pixabay, chart from TradingView.com