New Fiat-To-Crypto Exchange Launched In United Arab Emirates By Bithumb With Nvelop
New Fiat-To-Crypto Exchange Launched In United Arab Emirates By Bithumb
A new memorandum of understanding (MoU) has been signed between Bithumb and Nvelop to launch a fiat-to-crypto exchange in the United Arab Emirates. Bithumb, based in South Korea, is a cryptocurrency exchange, while Nvelop is based in the UAE and helps to fund blockchain businesses. It was founded after a collaboration between E11 Investment Fund and Trill Ventures Group.
In the partnership now established, Bithumb says that they will have an opportunity to expand their work to Saudi Arabia, Bahrain, and other MENA nations. As recently as June, the Financial Services Regulatory Authority (FSRA) established a regulatory framework for cryptocurrency exchanges. The markets regulator stated that exchanges will be required to undergo licensing procedures, which much be approved by the FSRA. Furthermore, not all crypto assets have been approved for use by firms.
The first half of the year is expected to bring crypto licenses into the picture, according to Bithumb. If the policy is approved, the new exchange planned between Nvelop and Bithumb would be launched around the middle of 2019. Bithumb already launched a global over-the-counter trading desk in their Hong Kong company, Bithumb Global.
Of the new partnership, The Financial News reported that Bithumb said,
“The partnership with Nvelop will enable us to build a foothold in the Middle East as a global exchange. This year, we will diversify into a company centered on overseas business.”
In the United States, Bithumb is working to become public with a reverse merger deal, which it looks like they plan to pursue through Blockchain Industries. Blockchain Industries is an investment-based firm, but it also highlights the crypto and blockchain industry. After the deal is secured, the new company would be Blockchain Exchange Alliance (BXA), and it would be the first crypto exchange to be publicly listed in the United States. Hopefully, this deal will reach its conclusion by March 1st.
Bithumb was hacked in June last year, losing $30 million. However, they have since said that they’ve recollected nearly half of what they lost with the help of other exchanges. User registrations for the firm were only officially made available in August again, following months of improving the support of their security systems.