Abu Dhabi, a Middle Eastern country, has established a government body for developing a strategy for regulating and promoting digital assets. Abu Dhabi has established itself as a well-known Crypto hub, approving the licensing of several branches of digital asset firms.
The Abu Dhabi Blockchain and Virtual Assets Committee (ADBVAC) held its inaugural meeting in late August, presided over by Mohamed Ali Al Shorafa, chairman of the Abu Dhabi Department of Economic Development & the SCA ( Securities and Commodities Authority).
The Committee will be in charge of overseeing Cryptocurrency regulation and promoting the digital asset industry within its jurisdiction. The newly formed committee hopes to introduce a regulatory framework to create a safe, sound, and transparent ecosystem for virtual assets as part of the discussion. It also seeks to ensure that all Crypto firms operating in its jurisdiction follow anti-money laundering and counter-terrorist financing regulations.
The Financial Action Task Force has placed the United Arab Emirates (UAE) on a watchlist of money laundering concerns. Shorafa stated that he believes the Committee will assist in mitigating all known expected risks, and he added: To promote Blockchain and virtual assets, the committee is assembling all applicable stakeholders to build a robust, credible, and exhaustive regulatory and business ecosystem that addresses major risks and governance issues like AML/CFT, investor protection, tech governance, and custody risk.
The ADBVAC is in charge of making the country more competitive in the Blockchain and virtual asset space, as well as supporting information exchange and establishing best practices for participants. In addition, the UAE established the Dubai Virtual Asset Regulatory Authority (VARA), joining countries like the United States, the United Kingdom, and Singapore in introducing Cryptocurrency legislation.
VARA was formed in collaboration with the UAE Central Bank and the Securities and Commodities Authority to take control of digital currency services. Licenses and imposing regulations for firms operating in the virtual asset industry are among the services provided. It is also responsible for: The creation of strategic plans and policies governing virtual asset activities, as well as the regulation and oversight of the issuance and offering of virtual assets and tokens, as well as the determining of regulations for virtual assets.
Source link
