A minister in the UAE says that crypto will play a major role in UAE trade going forward
According to the minister of state for foreign commerce, the United Arab Emirates intends to use crypto to trade in the future.
Thani Al-Zeyoudi spoke with Bloomberg Jan. 20, in Davos Switzerland where the annual meeting of the World Economic Forum is taking place. The UAE is looking at trading currencies other than the US Dollar. He said that cryptocurrencies are an area where the UAE is keen to expand.
“Crypto will play an important role in UAE trade moving forward.” It is crucial that global governance be established for crypto companies and cryptocurrencies.
Al-Zeyoudi said that the UAE is still working on its crypto regulatory system. Al-Zeyoudi stated that the UAE will continue to work on its crypto regulatory regime and make it a leading hub. He said that there has been some progress in this area.
“We began to attract some companies to the country with an aim that we’ll create the right governance system and legal system which are required.”
Al-Zeyoudi’s comments come just one day after Omar Sultan Al Olama (the UAE’s minister for artificial intelligence), made them. Despite recent events, such as the collapse of FTX, the nation is still committed to becoming the world’s largest cryptocurrency hub.
Olama stated, “They call the UAE home” and hints at cryptocurrency exchanges moving into Dubai or Abu Dhabi due to the UAE’s virtual asset regulations.
Olama denied that the UAE could be a safe haven to crypto criminals. He said that governments must work together to stop bad actors.
They will be everywhere. They will be found in the Bahamas, New York, London and we as governments need to work together with the industry to ensure that no one can move to another place if he does wrong,” Olama stated.
It is interesting to note that the UAE Cabinet recently Introduced New regulation requires entities engaged in crypto activities to obtain a license from the Virtual Asset Regulatory Authority. Companies that do not comply with the regulations could be subject to fines up to $2.7 Million.
This latest regulation is an addition to the “Guiding Principles for Digital Asset Regulation and Supervision” that were published in September by Abu Dhabi’s Financial Regulator.