The Government of UAE is Looking to Introduce ICO Crypto Regulations by Mid-2019
If local media reports are to be believed, the United Arab Emirates (UAE) government is looking to establish itself as a global leader within the crypto space by introducing a whole host of new ICO regulations by June 2019.
The Implications Of This Move
At a time when countries such as the United States, India are still in two minds over the legal status of alt-currencies, nations such as the UAE, Japan, Malta have embraced crypto with open arms.
For example, within the span of just 24 months, Malta has officially become the crypto capital of the world— with the country’s Prime Minister time and again speaking favourably about the beneficial aspects of “Bitcoin and other related digital assets”. If that wasn't enough, he even went on record to say that cryptocurrencies were the “the inevitable future of money.”
In a similar vein, the island nation of Gibraltar too has emerged as one of the “global hotbeds” for crypto activity— especially since the country has a pro-Bitcoin stance and has pumped in a lot of money to promote crypto/blockchain related research.
UAE Could Dominate The Middle-Eastern Crypto Scene
If things go as planned, it is being reported that the United Arab Emirates could soon be joining the aforementioned list of pro-crypto nations by introducing a whole host of positive financial regulations in the near future.
On the matter, Hans Fraikin, CEO of the Libra Project, was recently quoted as saying:
“The UAE is perfectly positioned to be a global leader in the ICO space. If they succeed as planned, they will be at the forefront of this new burgeoning global securities sector.”
Adoption All Set to Increase In The Middle East
As per a spokesperson for the SCA (UAE’s Securities and Commodities Authority), the government body has approved of initial coin offerings (ICOs) as being a legal means of raising funds from public investors (on October 9, 2018).
This move by the SCA was seen as a positive step towards the adoption of digital currencies as well as a good effort to “revamp” the local capital market within the country.
It is being reported that the SCA will be working closely with the Abu Dhabi Securities Exchange and Dubai Financial Market so as to help foster and create an environment where ICOs can flourish and grow.
On the subject of UAE making such big moves to improve its economic status globally, Andrea Bonaceto, the CEO of Eterna Capital, was quoted as saying:
“Owing to the government’s efforts to keep actively modernizing its financial infrastructure, the UAE will become a competitive location to attract ICOs and blockchain related investments in 2019.”
Many people believe that with the UAE government taking such proactive measures to overhaul its crypto sector, the nation is well on its way to cementing its position as being one of the premier crypto destinations of the world.
Lastly, it is also worth noting that over the course of the past 8-16 months, the UAE government has been looking to explore other upcoming technologies as well (these include artificial intelligence (AI) and blockchain-based data governance systems).