The Dubai World Trade Center is becoming a comprehensive ecosystem for cryptocurrencies and providers of related services. The move is part of an effort to support new industries and the emirate plans to seek help from crypto companies like Binance.
Dubai World Trade Center is said to house and regulate Crypto Space
United Arab Emirates authorities are planning to set up a special zone at the Dubai World Trade Center (DWTC) About the companies that work with digital assets can offer their products and services. The Dubai government announced that the DWTC will also play the role of regulator for the sector promoting “strict standards for investor protection, anti-money laundering (AML), counter-terrorism financing (CFT) compliance and cross-border deal flow “Enforces follow-up.”
According to an official announcement, the aim is to continue developing the virtual asset space and market in Dubai by adding a legal framework for innovative financial products that include legislative and enforcement guidelines. Officials hope this will facilitate the adoption of new blockchain-related trends and improve Dubai’s reputation as a global business hub.
Binance is considering headquarters in the United Arab Emirates
Dubai authorities also stressed that the DWTC will work with the private sector and other relevant bodies to create an attractive environment for the crypto industry. Such a collaboration has already been agreed Binance, the largest digital asset exchange by volume, reported the Straits Times. Dubai wants to license such crypto trading platforms and other blockchain companies.
As part of a letter of intent signed with the authority responsible for the Dubai World Trade Center, Binance will share its experience with regulators in other jurisdictions with the administration, the company announced on Tuesday. A report from Bloomberg found that the exchange was negotiating with Dubai and Abu Dhabi to set up their headquarters in the United Arab Emirates.
According to the Straits Times, Binance founder and CEO Changpeng Zhao recently bought a house in Dubai and met key officials in the local crypto industry while praising that of the emirate pro-crypto Attitude on social media. The executive was quoted in a statement released Tuesday:
Today, the adoption of crypto and blockchain technology is still in its infancy, but through our leadership position and expertise, combined with Dubai’s long-term vision, we plan to develop a regulatory framework that accommodates the fast-paced and advanced nature of virtual assets.
The report notes that energy-rich Dubai has tried to spur oil-free growth to ensure the sustainability of its economy. The project to turn Dubai World Trade Center into a regulated zone for cryptocurrency trading is part of that effort.
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Source: Crypto News Austria