UAE Embraces ICO and Cryptocurrencies

The United Arab Emirates (UAE) recently published a report that the country’s financial regulatory authority has shown interest in ICOs. The country is considering recognizing the issued tokens as security-based commodities.

Sultan bin Saeed Al Mansouri, Chairman, UAE Securities and Commodities Authority [SCA] said

“The committee has decided to approve the plan to regulate Initial Coin Offerings in the countries to keep p with the changing financial times.”

Notably, Sultan bin Saeed Al Mansouri is also a part of the Ministry of Economy of the United Arab Emirates. The SCA has clarified that their utmost priority is to adopt the financial protocols from various countries that have successfully integrated cryptocurrencies and learn from them. They also plan to improve the existing fintech industries within the UAE.

The latest report was published by the SCA proceeding the warning it had issued to investors of being careful while investing in crypto assets.

The Financial Services Regulatory Authority [FSRA] is the financial watchdog of Abu Dhabi. Notably, the FSRA was the first financial body on the UAE that brought forwards documents and circulars related to interconnected digital assets and cryptocurrencies. Dubai has been quick to follow up this move by debuting a financial model called “proprietary trading in crypto-commodities”. This model was made by the Dubai Multi Commodities Centre [DMCC].

The world has observed a sharp rise in the overall acceptance and usage of cryptocurrencies. Even first world countries like the United States and Canada have shown a lot of positive interest towards blockchain technology and cryptocurrencies.