While few countries are exploring the possible issuance of their own digital currencies, countries like UAE are seeking feedback from industry and stakeholders to regulate cryptocurrencies within the region which is certainly a positive move by UAE.
As per the official report, UAE’s Securities and Commodities Authority (SCA) shared draft regulations to obtain feedback from industry players including financial analysts, brokers, investors, media personnel, researchers and other like-minded people to propose new guidelines for crypto-space. In a statement, SCA said that;
“Crypto asset regulations lay down standards and requirements for a wide range of market participants like issuers of securities, investors including qualified investors, custodians, crypto trading platforms, brokers and promoters engaged in [the] crypto-asset industry,”
This move is further planned to regulate and develop “capital markets in the UAE” – having said that, all relevant parties are expected to provide their feedback by October 29. These opinions will be taken into consideration during the finalization of crypto guidelines, the SCA said. Although the guidelines haven’t been made, SCA mentioned that the regulations will be framed by prioritizing public interest.
However, SCA previously issued various warnings to alert investors against the fraudulent ICOs, pre-sale and other crowd sale methods. Nevertheless, it also cautioned investors against the money-laundering and other terrorism funding which are happening around crypto-landscape. Moreover, the UAE government had their hands with South Arabia intending to co-create cryptocurrency that would pave the way for a better understanding of the blockchain and crypto industry.
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