Different cities and countries all over the world are issuing licenses to different cryptocurrency and blockchain firms. The UAE and Dubai have been involved in cryptocurrency businesses before. But now, the largest free economic zone in the UAE has started issuing licenses to cryptocurrency and blockchain firms.
Dubai Attracts Crypto Businesses
As regulations and taxes on cryptocurrency industries spread all over the world, there are some few places that offer tax exemptions to some cryptocurrency businesses. For big investors, moving their headquarters to Dubai is not a problem if they live in an oppressive country.
Gold trader Regal RA DMCC is the company that has received a license from the Dubai Multi Commodities Centre to trade cryptocurrencies. In this way the company can store different cryptocurrencies and process different trading activities.
The Dubai Multi Commodities Centre (DMCC) is attracting cryptocurrency investments to its free economic zone in the UAE. The DMCC is a government entity established in 2002 that aims to attract different enterprises and businesses to the city. Additionally, the intention is to position Dubai as a hub for global commodities trade.
Now, the DMCC has started issuing licenses that allow firms that trade cryptocurrencies to operate in this free zone. Regal RA is the first company in the middle east to receive this license.
Ahmed Bin Sulayem, executive chairman at the DMCC said:
“At the heart of DMCC’s long term strategic growth plan is the use of technology and innovation to disrupt and connect new markets, industries and customers.”
The decision taken by the DMCC goes against most of the international financial regulators. Different countries and governments are warning about the risks of investing in cryptocurrencies and strongly searching for greater regulations on the matter. The G-20 has been selected as the place for the most important countries to discuss about international restrictions on cryptocurrencies.
The step taken by Dubai shows the contrasts among these different countries in the region. Qatar and Saudi Arabia advised people not to trade cryptocurrencies or deal in any way with them.