The ruler of Dubai, Sheikh Mohammed, announced on Twitter that their goal is to make Dubai a key player in the future of digital assets. This happened after they adopted their first law to regulate crypto assets. At the same time, they have established a regulator to keep an eye on crypto activities and the stakeholders in the industry. Stakeholders here refer to the service providers in the crypto space.
Dubai is regulating crypto assets
The first law to regulate cryptocurrencies in Dubai has been approved, and the Dubai Virtual Assets Regulatory Authority has also been established. This embarks on their journey to become a key player in the industry. To make this possible, the regulatory body has been kept independent. It will make sure that crypto businesses get an environment to grow with proper regulation. The regulatory body will be responsible for keeping an eye on virtual assets and their service providers.
Sheikh Mohammed, the ruler of Dubai, is also the prime minister of the UAE, which makes it possible that other emirates also bring crypto regulation. This is a good thing as one of their goal is to bring investor protection and keep their personal data safe. Under the new law, exchnages that offer swapping between crypto and fiat, custody, transfer, and management service are to be regulated as well by the body.
Regulations have been favorable so far
If you think about it, almost all countries are trying to be a leader in the crypto space. This is why the regulations that have come so far are actually favorable. Take a look at the executive order by Biden. It doesn’t have any mention of the SEC that has been making laws without clarity and affecting the crypto space. At the same time, they have legitimized the crypto space and cleared the air. The US also wants to become a leader in the space and has acknowledged crypto to be an essential part of the economy. Even in the case of India, while the tax is too high for now, it is a step in the right direction to legitimize crypto.
What are your thoughts as Dubai is regulating crypto assets? And which country do you think will be a leader in the space? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.