Cryptocurrencies remain of great importance to many countries. Finding the necessary regulatory measure to ensure growth is a different matter altogether. In Abu Dhabi, the framework to regulate spot crypto asset activities has gone into effect as of today.
It is good to see Abu Dhabi introduce some guidelines or cryptocurrency. These changes were announced by the Abu Dhabi Global Market entity. Interestingly enough, the regulator decided to consult the general public on how crypto assets are perceived. As such, the introduction f a robust regulatory ecosystem has been a lot more straightforward.
Positive Changed for Abu Dhabi
No one will deny cryptocurrencies pose a wide range of risks. There are also a lot of opportunities, yet both sides need to be weighed carefully. Especially when it comes to money laundering and financial crime, there’s room for debate. Additionally, Abu Dhabi officials touch upon custody and exchange operations, which are also integral in the cryptocurrency world.
Richard Teng comments as on this development:
“We are encouraged by the significant global and regional interest from exchanges, custodians, intermediaries and other institutions to our crypto spot regulatory framework. Globally, responsible crypto asset players are seeking a regulatory regime upholding high standards that foster market confidence. By introducing a comprehensive and best-in-class regulatory framework, the FSRA is taking a leading role in instilling proper governance, oversight and transparency over crypto asset activities, positioning ADGM as a destination of choice for crypto asset players. Our engagement with fellow global regulators also validated our position that the key risks highlighted have to be addressed for crypto assets to be more widely accepted and institutionalized.”
All things considered, the overall tone of these guidelines is open-minded. That may come as a surprise, considering how other countries have taken a somewhat negative stance as of late. Even so, these currencies and assets will not go away anytime soon. In fact, they may become an integral part of people’s daily lives sooner rather than later.