The United Arab Emirates intends to officially introduce initial coin offerings (ICOs) and to set forth a fully-fledged regulatory framework in 2019. The Emirates will rely on ICOs as alternative means for companies to raise money.
Big News for ICOs
ICOs have quickly established themselves as an alternative way of raising money. The United Arab Emirates are reportedly going to introduce a comprehensive and encompassing regulatory framework for them in 2019, Reuters reports.
Speaking on the matter was Obaid Said al-Zaabi, Chief Executive at the Securities and Commodities Authority in the UAE:
The board of the Emirates Securities & Commodities Authority has approved considering ICOs as securities. As per our plan we should have regulations on the ground in the first half of 2019.
Reportedly, the EMSCA is drafting up said regulations with international advisers as well as with the Dubai and Abu Dhabi stock markets.
Marching Into the Field of Cryptocurrencies
The United Arab Emirates is displaying serious intentions to march into the field of blockchain and cryptocurrencies. Just yesterday Live Bitcoin News reported that Dubai will be joining forces with two crypto companies to allow cryptocurrency payments for retail purchases, bills, and even school fees.
Earlier in September Dubai also launched the “payment reconciliation and settlement” system entirely powered by blockchain-based technology.
What is more, the National Bank of Abu Dhabi revealed June 15 that it will be using the Ripple protocol for cross-border transactions.
To further attest to its strong intentions, the UAE was the first to launch an Islamic cryptocurrency exchange conveniently called the First Islamic Crypto Exchange (FICE). The platforms is intended to run on the standards which are set by the Shariah Advisory Board and it is also expected to substantially impact the perception of the Islamic world on the entire cryptocurrency market.
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