United Arab Emirates to Share New ICO Regulations Before June 2019 as Crypto Continues Expanding
Finally, Initial Coin Offerings (ICOs) are set to be regulated in the United Arab Emirates. Following the move from many other countries in the world which decided to regulate their ICOs, the United Arab Emirates are doing it now.
The plan is to use the first half of 2019 to regulate ICOs in the country and make them a legal way to raise venture capital. As reported by the local media outlet The National today, December 21, the Securities and Commodities Authority (SCA) of the United Arab Emirates will develop a platform for ICO trading.
This new platform will be developed together with the Abu Dhabi Securities Exchange and Dubai Financial Market and will be a centralized solution to the ICO market. According to the regulator, agreements were already signed with law firms to create the sandbox rules that will determine how the ICOs will be issued.
According to the reports, the regulatory sandbox will be a type of framework that will help in the development of the industry and the SCA Chief Executive Obad Al Zaabi has affirmed that everything will be ready until the half of 2019.
In the future, the licensing and registration for ICOs will be available for all companies in the country and even from the ones that are based somewhere else. The organizations involved believe that there is a demand for these services and that ICOs will be a success in the country later.
Together with this initiative, the United Arab Emirates have already developed some other ideas that will help to raise the blockchain adoption in the country like collaborating with blockchain companies and even using the blockchain technology in state banks.
For instance, the United Arab Emirates’ central bank is currently having a partnership with the monetary authority from Saudi Arabia to issue cryptos that can be used internally for cross-border transactions between the two countries.