111 Interactions, 4 Today
The UAE has recently increased its footprint in the digital asset business through a number of attempts to further integrate blockchain-based technologies.
According to Stephen Stonberg, CEO of Bittrex Global crypto exchange, the United Arab Emirates (UAE) and Dubai are among the most welcoming governments for the cryptocurrency business.
Dubai is likely to benefit from the expanding crypto market in the Middle East as local regulators increasingly accept blockchain-related technologies, Stonberg said in a Sunday Bloomberg interview.
The UAE and Dubai are “doing all the right things and they’re going to attract a lot of regional projects” in the cryptocurrency industry, Stonberg said. He stated that these jurisdictions provide a “great place” to set up a token project or run a cryptocurrency exchange, largely thanks to the region’s status as a tax haven.
According to data from the Tax Justice Network, the UAE became one of the world’s largest fastest-growing tax havens in March 2021 alongside Switzerland and Bermuda.
“I think Dubai is going to do phenomenally well,” Stonberg said, adding that Bittrex now anticipates additional growth and more clients in the region. Bittrex Global is a global cryptocurrency trading platform for the Bittrex exchange, which is one of the major cryptocurrency exchanges in the United States.
The worldwide exchange, which is located in Liechtenstein, was officially inaugurated in September 2019. Bittrex Global got a digital asset licence last year, allowing it to operate its crypto exchange under the supervision of the Bermuda Monetary Authority.
The UAE has recently strengthened its position in the digital asset business, with Minister of Economy Abdulla Bin Touq Al Marri announcing in April that cryptocurrencies and asset tokenization will be critical to the country’s goals to quadruple its economy in ten years. The UAE entered the global central bank digital currency (CBDC) contest in July.
The Dubai Financial Services Authority, the financial regulatory agency for the Dubai International Financial Centre, has launched many crypto-related rules this year, with the goal of establishing a regulatory framework for various digital assets by 2021.