UAE’s quest for cryptocurrency regulation catches up the pace with an official draft
|- The regulatory, SCA has invited industry players to provide their views regarding the draft.
- The draft narrows its focus on investors and consumer protection as well reduction of financial crime.
Securities and Commodities Authority (SCA), the leading regulator in the United Arab Emirates has revealed a draft policy for cryptoassets’ regulation. The draft has addressed topics relating to blockchain and cryptocurrencies. It seeks to provide a clear framework for regulating and working with digital assets within the region.
UAE has continued to be pacesetter when it comes to the adoption of crypto and blockchain. The country was among the first to come up with de facto laws for the new asset class in the world. The move towards complete regulation will give cryptocurrencies more confidence while operating within the UAE’s jurisdiction.
“The Authority has invited all parties concerned with the capital market in the country from dealers of various categories: investors, intermediaries, financial analysts, researchers, media and interested parties and others to review the draft decision and express their views on it by no later than 29 October, in order to get acquainted with the observations of industry and the views of dealers and those interested in the market and domestication. Their proposals to be taken into consideration when preparing the final wording of the system.”
The draft will take care of issues relating to the issuance of crypto assets, circulation of the assets and custody activities. The focus is being channeled towards protecting the investors and the minimization of financial crimes.
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