Lara

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UAE Match Systems retrieves $68 million worth of stolen bitcoin

UAE Match Systems retrieves $68 million worth of stolen bitcoin

UAE based Match Systems, a cyber security company specializing in AML (Anti Money Laundering) services, blockchain investigations, implementation of compliance procedures for cryptocurrency projects around the world has recovered $68 million of stolen Bitcoin crypto assets from Cryptex.

The incident occurred on May 3rd 2024, when a “dust” attack on cryptex exchange targeted a crypo whales resulting in the theft of 1,155.28 Bitcoins worth $68 million.

The stolen tokens were received by an unknown scammer to the address  0xd9A1C3788D81257612E2581A6ea0aDa244853a91, from which the funds were moved to the address 0xfB5bcA56A3824E58A2c77217fb667AE67000b7A6. After which the stolen funds began to be distributed in parts to several scammer’s addresses.

The victim immediately sought assistance from Match Systems. As a result of promptly conducted work, the assets were found and returned to the crypto whale in full in just a week.

As per the press release, this incident perfectly demonstrates that promptly contacting specialists in case of theft of crypto assets significantly increases the chances of the crypto fraud victim to get them back. Moreover, the earlier the victim seeks help, the higher the probability of getting the stolen funds back in full.

According to Match Systems the company provides unique information about cryptocurrency addresses involved in illegal activities, enabling them to protect participants of crypto market from blockages and losses.

In addition the company offers Compliance  & AML, Blockchain investigations (digital assets recovery), due Diligence, forensics/assets tracing (crypto and fiat), multi-account abuse detection and education.

In the past Match Systems had completed 23 cases retrieving $15 million. Examples of some of these cases, include Revil where damages amounted to $100 million and retrieved asset were $0.7 million, Hydra where damages amounted to $1.3 billion and retrieved assets found $3.2 million.

In the UAE, Match Systems works with UAE government including criminal investigation department, and digital forensics department.

DWF Labs and Binance refute any claims of crypto market manipulation or cover up

DWF Labs and Binance refute any claims of crypto market manipulation or cover up

DWF Labs, a proprietary high frequency trading firm with offices in UAE, China, Singapore, and Hongkong as well as Binance the biggest crypto exchange globally have vehemently denied all accusations made in a recent article in the Wall Street Journal that there was market manipulation and an ensuing cover up.

The WSJ article discussed accusations that DWF Labs had carried out market manipulation allegedly discovered by a now ex-employee of Binance.

As per the article the fired employee, along with his team, was tasked with identifying and investigating suspicious trading activities. They reported that certain “VIP” clients, including those trading over $100 million per month, were engaged in prohibited practices such as pump-and-dump schemes and wash trading.

Wash trading is a type of market manipulation that can artificially inflate prices and lead investors to believe there is greater market liquidity than there actually is. Widespread crypto wash trading profoundly distorts markets, erodes investor trust, and skews financial market indices

The unnamed former Binance insider claimed that the exchange’s investigators identified $300 million worth of wash trading by DWF Labs in 2023, involving cryptocurrencies including the Yield Guild Game (YGG) token.

Binance concluded that the evidence of market abuse by DWF Labs was insufficient. As per WSJ article shortly after the report was submitted, the head of the surveillance team was dismissed.

The allegations against DWF Labs first surfaced in September 2023 after unusual on-chain activity was noted by the cryptocurrency community. Wintermute, another algorithmic trading firm, accused DWF Labs of misrepresenting their market activities. Yoann Turpin, co-founder of Wintermute, criticized DWF Labs during an interview at Token2049, arguing that they mislabel what are essentially over-the-counter trades as investments

In reply to these accusations both Binance and Dubai based DWF Labs have come out with statements denying these charges and defending their practices.

In a blog post on DWF Labs website, the firm noted, “DWF is a proprietary high-frequency trading firm founded in 2018 by a collective of academically distinguished researchers and professional quantitative traders from a top proprietary trading firm. Our organisation has deep expertise in artificial intelligence, machine learning, and advanced statistical methods, all of which we harness to execute high-frequency trading strategies across a vast array of digital asset products, including spot, perpetual contracts, and options markets. Our trading activities span over 60 centralised and decentralised venues, making DWF a prominent player in the financial technology landscape.”

The blog adds,” From day one, our goal has been to always uphold the highest standards of transparency, trust, and integrity.”

DWF Labs is trusted by over 700 companies, platforms, and institutions. The company states that it provides liquidity to markets for more than a quarter of the 100 largest crypto-native projects and our reach spans across the entire crypto ecosystem. They note that they are committed to supporting bold entrepreneurs by providing liquidity, contributing to Total Value Locked (TVL), operating validator nodes, and making venture investments.

DWF Labs cooperated with DMCC (Dubai Multi Commodities centre) to support crypto startups and was named most active lead investor in 2023. It is also Bybit’s top liquidity provider according to their statements.

DWF Labs claims in its blog post that it has supported the integration to institutional wallets: TON <> Fireblocks , Conflux <> Fordefi, as well as Hackathons: TON, Viction, Conflux (U-Hack), Bybit x DMCC x DWF Labs including ecosystem funds and grants: Airdao, ZigCHAIN, TON, Theta, Algorand, Flare, EOS, Floki, API3, Kava, Gala Chain, Klaytn.

In a strong worded sentence, DWF Labs stated, “Establishments and fake media will not root the movement that Bitcoin started in 2009. We are in crypto for the very reasons why the establishments want to get rid of us.”

On another front Binance also faced the allegations with their own statement saying “Binance emphatically rejects any assertion that its market surveillance program has permitted market manipulation on our platform. We have a robust market surveillance framework that identifies and takes action against market abuse. Any users that breach our terms of use are off-boarded; we do not tolerate market abuse.”

Binance notes that over the last three years its team has offboarded nearly 355,000 users with transaction volumes of more than $2.5 trillion for violating their terms of use.

The crypto exchange added, “We have 190 million users. They can rest assured we do not favour any individual user, no matter how big, over the safety of the platform.  That said, these are not decisions we take lightly. We do deep investigations, using multiple tools, and only offboard clients when there is sufficient evidence, they have violated our terms of use. A recent independent investigation from Inca Digital into Binance’s market surveillance practices validates the effectiveness of our approach, finding “minimal signs of anomalous trading activities.”

Whether these allegations are part of a wider 21st century witch hunt or whether these are true representation of reality, what is for sure is that the crypto ecosystem as it grows is coming under increased pressure from the establishment!

As Binance blocks thousands of crypto transactions in UAE, it faces fines of $4.38 million in Canada

As Binance blocks thousands of crypto transactions in UAE, it faces fines of $4.38 million in Canada

Binance is and has blocked hundreds of thousands of suspicious cryptocurrency transactions in the UAE with many brokers and exchanges using Binance because of its significant liquidity pool, yet the crypto exchange is still facing regulatory scrutiny with Canada’s regulator recently fining Binance for non-compliance with the laws related to money laundering and terrorist financing.

This comes as Meera Judge, the Dubai-based director of regulatory licensing and policy at Binance speaking to Lara on the Block noted that while Binance is doing all it can to ensure utmost compliance, when it comes to exchanges working with Binance is up to them to ensure their own compliance.

By the end of February Binance had registered 178 million registered users, with $3 billion in net inflows between November 2023 and February 2024.

Lara on the Block asked Judge these questions after an interview with her appeared in AGBI magazine where she unveiled that Binance has blocked hundreds of thousands of suspicious crypto transaction in the UAE.

Judge told Lara on the Block, “Binance continues to go above and beyond industry standards to detect bad actors through proactive measures and collaboration with private and public entities. Binance takes any use of its platform to facilitate “illicit” activity very seriously. It has invested substantial resources in talent and tools to reduce this exposure even further, making Binance an industry leader in this respect.”

She adds, “We have worked hard to build a robust compliance program that incorporates anti-money laundering principles and tools used by financial institutions to detect and address suspicious activity. We proactively block users from sanctioned regions and do this through KYC and a variety of KYC/AML tools and vendors including, but not limited to, Jumio, Onfido, WorldCheck, Elliptic, and CipherTrace.

As Judge explains, their due diligence process includes screening users against extensive database via Refinitiv World-Check that contains major sanctions and terrorism lists. She adds, “This is done on an ongoing basis to ensure that we keep bad actors out of our platform.”

Binance is utilizing a team of 500 compliance officials worldwide, with 100 of them dedicated to transaction monitoring.

Judge believes that Binance’s operational stability is critical to the stability of the broader market, stating that Binance is the largest exchange in the world and is considered a systemically important financial infrastructure.

This however according to Judge doesn’t mean that Binance is responsible for the compliance of other crypto exchanges. She tells Lara on the Block, “Binance’s liquidity pool is significant, so many other broker-dealers and exchanges tend to use us, which is why we face additional scrutiny. Given that Binance’s liquidity pool is significant it is used by other broker-dealers and exchanges however it’s up to them to ensure their own compliance. Binance goes above and beyond industry standards, and we encourage others in the industry to endeavor to do the same.”

Binance has over the past years increased its efforts towards compliance especially as it works to gain regulatory status in several countries. It recently was awarded a regulatory license in the UAE. Earlier this year, Binance noted that it increased year-over-year spending on compliance from $158 million to $213 million, purchasing a raft of new software systems to block and report suspicious transactions. Binance also decided to bring back executive Steve Christie as its deputy chief compliance officer.

Despite all this, On Thursday May 9th 2024, Canada’s financial crime watchdog levied a fine equivalent to $4.38 million against Binance for compliance failings. The Financial Transactions and Reports Analysis Centre of Canada imposed an administrative penalty on Binance for non-compliance with the laws related to money laundering and terrorist financing.

The regulator, known as Fintrac, found administrative violations including a failure to register as a foreign money-services business and allegedly failing to report large virtual currency transactions of C$10,000 or more in the course of a single transaction, along with the prescribed information.

In 2023, Binance pleaded guilty to violating U.S. anti-money-laundering requirements and agreed to pay a $4.3 billion fine. The exchange also faces civil charges in a SEC lawsuit.

So while Binance has been trying to do so much to increase its compliance, and while Binance now holds a regulated license in the UAE blocking hundreds of thousands of suspicious crypto transactions, and as it announces its registration with the Indian Financial Intelligence Unit after the region banned the platform and over nine others in December 2023, it is still facing the heat in other countries across the globe.

After ADGM Hacken partners with Klumi Ventures for blockchain security

After ADGM Hacken partners with Klumi Ventures for blockchain security

Hacken, a blockchain security auditing firm, has forged a strategic alliance with Klumi Ventures, recently regulated Web3 venture capital firm based in Abu Dhabi Global Market (ADGM). As per the press release the partnership is poised to establish new benchmarks in blockchain security and compliance, capitalizing on the formidable security expertise of Hacken and the financial licensing of Klumi Ventures in UAE.

Prior to this Hacken signed an MOU with ADGM to set benchmarks for security and compliance.

Klumi Ventures recently announced the launch of a $15 million investment fund aimed at fostering the Web3 ecosystem in ADGM. This initiative focuses on providing pre-seed and seed investments for emerging Web3 startups. It is the sole web3 VC and Fund Manager regulated by ADGM. It stands at the forefront of the region’s burgeoning blockchain ecosystem, offering comprehensive support to early-stage startups

Hacken and Klumi Ventures aim to cultivate a secure and regulated framework for capital deployment, with the overarching goal of positioning ADGM as a global hub for blockchain innovation, renowned for its stringent security and compliance protocols.

“Klumi Ventures collaboration with Hacken signifies a paradigm shift in blockchain security and compliance. By blending regulatory prowess with cutting-edge cybersecurity expertise, we’re charting new territory in establishing global benchmarks for safety and trust in the blockchain industry as a fund manager. This alliance underscores our shared commitment to pioneering innovative solutions that elevate transparency, security, and regulatory excellence in the digital assets landscape” stated Kristiina Lumeste, Senior Executive officer of Klumi Ventures.

The scope of the partnership includes creating a Security-First Blockchain Environment in ADGM. The partnership harnesses Hacken’s extensive cybersecurity expertise to establish new global standards in blockchain safety. Through this collaboration, all blockchain initiatives driven by Klumi Ventures within the ADGM will meet the highest security standards, creating a secure and stable environment for innovation.

In addition will be the continuous monitoring for Klumi Ventures Portfolio. Hacken’s advanced on-chain monitoring technologies will be deployed across the new and existing Klumi Ventures’ portfolio companies, providing real-time security assessments and ensuring continuous compliance with ADGM’s standards.

Finally the partnership will significantly enhance the blockchain community’s expertise within ADGM. By organizing a variety of educational initiatives such as workshops, seminars, and webinars, the collaboration will empower local and regional blockchain professionals. These events are designed to impart best security practices and introduce the latest innovations in blockchain technology, cultivating a knowledgeable and skilled workforce.

Dyma Budorin, Hacken Co-Founder & CEO stated, “Hacken is impressed by Abu Dhabi’s steadfast commitment to prioritizing security in developing its local blockchain ecosystem. We are honored to stand as a partner in this endeavor. Our collaboration with Klumi Ventures marks another significant stride toward forging a secure and dependable Web3 landscape within the region. Drawing from our extensive 7-year experience in collaborating with the world`s top crypto brands, we are dedicated to leveraging our best practices to ensure the safety and integrity of every project within the Klumi Ventures portfolio.”

Together, Hacken and Klumi Ventures are setting a new standard for blockchain ventures in the region, emphasizing security, compliance, and community engagement as pillars of their strategic partnership. This collaboration not only enhances the value of the Web3 ecosystem within ADGM but also ensures it is a safe, innovative, and thriving environment for all stakeholders.

UAE based AMINA Bank if ETH is a security there are significant risks to entire crypto community

UAE based AMINA Bank if ETH is a security there are significant risks to entire crypto community

UAE based AMINA Bank, previously know as SEBA crypto bank, regulated in Abu Dhabi ADGM, has published an interesting article on Ethereum, and ETH being designated as a security. According to AMINA Bank, the question on the minds of Ethereum investors is whether or not Ether is a security given the pending US decision on spot Ether ETFs ( Exchange Traded Funds).

As per the article on one hand, the US Commodity Futures Trading Commission (CFTC) has defined ETH, along with several other cryptocurrencies, as commodities. Conversely, US Securities and Exchange Commission Chair Gary Gensler has refrained from providing a clear stance. This was further amplified during his Congressional hearing in April 2023, he repeatedly avoided giving a definite answer. Even recently, he did the same in an interview – refused to give a clear answer to the question. This lack of clarity has left the crypto community uncertain about the possibility of a shift for the cryptocurrency from its current legal ambiguity.

Concerns escalated when the Ethereum Foundation recently disclosed being subpoenaed by an unnamed “state authority,” suspected by many to be the SEC, although Fortune claimed it was the US SEC, unconfirmed by the SEC itself. Although there were bigger factors in play, this regulatory uncertainty has partly contributed to the abysmal performance of ETH relative to BTC since the start of 2023.

To confront the SEC and address ETH’s legal standing, Ethereum software development firm Consensys has filed a lawsuit recently. The lawsuit says that the SEC lacks jurisdiction to regulate global, peer-to-peer computer networks and this includes Ethereum.

Consensys argues that the SEC’s extensive reach into commodities, software, and emerging technology platforms is illegal. According to the lawsuit, if the SEC’s influence prevails, it could nullify efforts by Congress, the Federal Reserve, and the Treasury on stablecoins, undermining established US policy priorities and granting technological superiority to nations beyond the US.

AMINA Bank believes that it currently seems unlikely that ETH will be declared a security. However, for investors, it is important to understand the implications if it were to go the other way, so let’s dive in. To state the obvious, if ETH were indeed designated as a security, it would pose significant risks to the entire crypto and decentralized finance (DeFi) ecosystem. ETH currently is the backbone of DeFi, being extensively integrated within it. It functions as the native gas token for the Ethereum blockchain and its scaling solutions.

It serves as widely accepted collateral in DeFi and boasts of the largest developer community in the crypto space. Once a security, all infrastructure that lets users use ETH could be seen as unregistered securities brokers. Exchanges seeking to list Ether would need to register as securities broker-dealers with the SEC. Most teams in crypto may exit the space if subjected to such operational complexity.

Another possible implication is that protocols may start prefering Proof-of-Work (PoW) consensus. In a Proof-of-Stake (PoS) system, entities with larger token holdings have a greater chance of validating the next Ethereum block and receiving block rewards for the same in ETH.

Gensler has suggested that such PoS chains, rewarding users for locking up their coins, resemble investment contracts and could be deemed securities, without specifically mentioning ETH. Given that most major blockchains, apart from PoW Bitcoin, work on PoS like Ethereum, regulators might extend similar classifications to them.

Additionally, non-ETH tokens hosted on the Ethereum blockchain could also face repercussions due to being so closely integrated with a supposed security (ETH). This is why new blockchains may want to then go back to the PoW consensus mechanism to avoid regulatory scrutiny.

It’s fair to say that this would not only put a hold on but potentially even reverse years of progress across the cryptocurrency market. This is a doomsday scenario for cryptocurrency investors which currently is unlikely to happen.

The argument against ETH being classified as a security revolves around the nature of ETH tokens themselves. Unlike stocks or bonds, ETH tokens do not represent legal ownership of any business entity. They are essentially code stored in a decentralized database. When considering whether ETH qualifies as a security, the crucial question is whether the offer and sale of ETH tokens constitute an investment contract under the Howey test.

The Howey Test is used in the US to determine whether certain transactions qualify as investment contracts. Under the Howey Test, a transaction is an investment contract if:

It is an investment of money.

The investment of money is in a common enterprise.

There is an expectation of profits from the investment.

Profits come from the efforts of some particular others.

At the time of Ethereum’s ICO in 2014, when the community was smaller, ETH may have met the criteria of the Howey test. This is because participants likely invested money expecting profits based on the efforts of a few select others like founder Vitalik Buterin and some core developers.

There was also an expectation of profit for ICO investors. It could have also been considered a “common enterprise” due to the founding team being the only members of the Ethereum community at the time of ICO. However, the SEC did not act then.

Today, several factors suggest that ETH does not meet the Howey test criteria the way it is right now. Firstly, with the rise of DeFi, ETH serves as more than just an investment – it also has utility in paying gas fees for transactions onchain.

Additionally, Ethereum has become increasingly decentralized with a diverse developer community (over 7000 monthly active developers throughout 2023) and network success no longer dependent solely on the efforts of specific individuals like the Ethereum Foundation. From a security standpoint, there is no single gatekeeper. The total number of active validators for Ethereum has exceeded the 1 million mark, according to data from Glassnode.


Many were concerned as liquid staking provider Lido Finance neared the 33% threshold mark in percentage of ETH staked. However, this is now down to 28% at the time of writing. Also, Lido is not a single entity and currently has over 30 node operators.

But does Proof-of-Stake make ETH a security as Gensler believes? In PoS, running a validator node on the Ethereum network is considered a service, not an investment scheme. This is because rewards are contingent on honest behavior during validation.

Dishonest actors may face slashing of their stake. However, staking services provided by centralized platforms like Coinbase or Kraken may blur the line, potentially exposing providers to legal action. Nonetheless, this does not affect ETH’s classification.

As obvious as it may sound, another reason why ETH may not be classified as a security is because it currently is not so. CFTC has allowed ETH futures trading and has explicitly stated ETH as a commodity. This reinforces the argument against ETH being classified as a security. The SEC’s approval of ETH futures ETFs for trading on regulated security exchanges also underscores ETH’s non-security status and falls outside the SEC’s jurisdiction.

AMINA Bank article concludes that it seems that the US SEC is refusing to take a clear stance on this matter in order to confine ETH within a grey area, thereby allowing it to delay the decision on the applications of the US spot Ether ETFs filed by financial behemoths like BlackRock, Fidelity, Greyscale and others.

A complete list of Ether ETFs can be found here. Regardless of the SEC’s eventual decision on ETH’s security status, we hope it positively contributes to the future of crypto and finance.

Saudi tokenization startup to tokenize assets of ParisAline

Saudi tokenization startup to tokenize assets of ParisAline

ParisAline, a global leader in invisible orthodontic treatments, has partnered with Saudi Arabian tech startup, Tokenizerly. As per the press release the collaboration aims to revolutionize funding mechanisms in the healthcare sector through the use of advanced blockchain technologies.

Tokenizerly is a Saudi-based technology startup leading the way in innovative funding solutions using blockchain. Its platform offers comprehensive tools for asset tokenization, providing unprecedented advantages in terms of reach, efficiency, and transparency.

The agreement involves deploying Tokenizerly’s specialized tokenization technologies to enhance funding solutions across ParisAline and its associated group of promising medical companies. These include operations in hospitals, medical device manufacturing, medical tourism, as well as laboratories and educational institutions, operating on a global scale.

The Blockchain enabled Tokenizerly platform will allow ParisAline and its sister companies to raise capital efficiently by tokenizing their assets making the alternative investment in healthcare affordable, accessible, and tradable. This method offers a myriad of benefits which includes global Reach through access to a wider and more diversified investor base. It also offers efficiency & cost reduction, with quicker settlements and lower costs related to operations and intermediation.

In addition the platform provides simplified liquidity: and a secure and tamper-proof record of ownership that promotes integrity and availability to the public.

The CEO of ParisAline, Dr. Ahnaf Aljajah, expressed enthusiasm about the partnership, stating, “This collaboration with Tokenizerly marks a significant milestone in our journey to integrate more innovative and efficient funding solutions within the healthcare industry. By leveraging blockchain technology, we are setting new standards for investment and operational efficiency.”

Haiyan Alsaiyed, Founder and CEO of Tokenizerly, added, “We are thrilled to partner with ParisAline and its sister companies. This is a unique opportunity to bring our robust financial technology solutions to a sector that impacts lives globally. Our platform is designed to transform how companies secure funding and manage their assets.”

This agreement comes as the Saudi government works to support tech development in the Kingdom. Recently The Hashgraph Association (THA), the Swiss-based organization at the forefront of global Blockchain digital enablement, signed a strategic partnership with the Ministry of Investment of Saudi Arabia (MISA) to launch a “DeepTech Venture Studio” in Riyadh worth $250M USD over five years (2024-2028).

Vault Hill launches blockchain digital ecosystem at Abu Dhabi AIM Congress

Vault Hill launches blockchain digital ecosystem at Abu Dhabi AIM Congress

Vault Hill blockchain with its offices in Ras El Khaimah UAE, has launched its digital ecosystem Vault Hill 3.0 at the AIM Congress in Abu Dhabi. The system is set to redefine the integration of gaming, artificial intelligence (AI), and immersive social experiences. This upgrade goes beyond a simple refresh, introducing a re-engineered platform that is poised to become a central hub for digital innovation, mainly focusing on enriching the technological terrain of Africa.

Vault Hill has crafted interactive spaces where users worldwide, and especially in Africa, can engage, create, and explore within a richly immersive environment. “With Vault Hill 3.0, our focus sharpens on empowering the African community, harnessing advanced technologies to propel regional development and connect the continent to global digital trends”, says Jimi Daodu, CEO of Vault Hill.

Step into the future of gaming with VH Games, where blockchain technology meets immersive gameplay. “VH Games introduces a tokenized economy, utilizing tokens to blend play with real value creation, providing gamers not just entertainment but also economic opportunities within our expansive digital realms,” says Tayo Kalejaiye, Head of Gaming at Vault Hill.

Also introduced is Hilda an AI partner that serves as a dynamic companion for businesses and government agencies, facilitating sophisticated digital strategies and enhancing customer interactions with predictive analytics and personalized service.

Qatari backed QAN blockchain rolls out testnet

Qatari backed QAN blockchain rolls out testnet

QANplatform backed by Qatar’s MBK Holding has rolled out the world’s first quantum-resistant and Ethereum-compatible blockchain testnet, where developers can code smart contracts in any programming language.

As per the blog post, the introduction of this testnet follows the successful implementation of QANplatform’s quantum-resistant technology by a European Union member state. Building on the success of the QAN Private Blockchain or QAN Enterprise Blockchain launched in September 2023, the new QAN TestNet is a precursor to the QAN MainNet Beta and signifies a leap in the Web3 ecosystem’s evolution.

The blog notes, that Qan is the world’s first platform that combines three outstanding features: quantum-resistant security, compatibility with Ethereum’s EVM, and the ability to code smart contracts in any programming language.

Enabled by the QAN Virtual Machine (QVM), the platform welcomes smart contract creation in a diverse array of programming languages compatible with the Linux Kernel. This approach aims to democratize access to Web3 technology, potentially drawing in more than 28 million new developers by moving beyond the traditional blockchain platforms that support only a few programming languages. QAN lowers the entry barriers for non-developers with its no-code smart contract studio, allowing users to generate smart contracts interactively within minutes.

In alignment with the US National Institute of Standards and Technology (NIST)’s primary recommendations, QANplatform incorporates CRYSTALS-Dilithium algorithm into QAN XLINK. The QAN XLINK cross-signer ensures post-quantum transaction security while maintaining Ethereum EVM compatibility, safeguarding QANplatform and its users against the looming threat of quantum computing.

Johann Polecsak, Co-Founder and CTO of QANplatform, expressed, “Crafting a blockchain that addresses both future challenges, such as quantum attacks, and current market issues, like high entry barriers for developers and enterprises, presented a significant and complex undertaking. Our aim to achieve Ethereum compatibility to facilitate seamless integration of pre-existing solutions added to the complexity. The dedication of our team to navigate these challenges affirms a critical advancement.”

Emirates NBD Digital bank explores tokenization of real world assets

Emirates NBD Digital bank explores tokenization of real world assets

Emirates NBD the creator of Liv, UAE’s first digital bank has signed a Memorandum of Understanding (MoU) with Ctrl Alt, B2B alternative asset solutions provider, to explore infrastructure solutions related to tokenization of real-world assets. The MoU was signed at the Dubai FinTech Summit by Marwan Hadi, Group Head of Retail Banking and Wealth Management at Emirates NBD and Matt Ong, Founder and CEO, Ctrl Alt.

As per the press release,digital Assets represent a trillion-dollar asset class and the opportunities for future innovation and market opportunities within it are considerable. Liv is enthusiastic about championing the next generation of investors and is collaborating with Ctrl Alt to ensure they remain at the forefront in offering diversified and sought-after products. With the support of Ctrl Alt’s infrastructure, Liv aims to explore avenues to grant their customers access to the burgeoning tokenized asset sector.

Several surveys have indicated changing investment patterns amongst millennials and Gen Z. A report on Middle East Investment Trends by Lombard Odier indicated that younger investors hold strong, positive long-term investment convictions. Additionally, 60% also expressed a strong preference for private market assets, including private equity, private debt, real estate and infrastructure. Further, Gen Z are investing at a higher rate and earlier age than previous generations. According to an Oliver Wyman Forum survey, almost half of Gen Zers invest in the stock market and they are 45% more likely to start investing by age 21 than millennials and two to four times more likely than Gen X and baby boomers.

Marwan Hadi, Group Head of Retail Banking and Wealth Management at Emirates NBD, said: “Liv is the first bank in the UAE to explore offering tokenised real-world asset investing opportunities to customers, and we are delighted to co-partner with a leading infrastructure provider such as Ctrl Alt for this initiative. As the innovation incubator in Emirates NBD Group, Liv has always remained at the forefront of digital innovation, seeking to collaborate with partners to explore and experiment with technologies that are in demand globally and in the UAE.”

He added: “According to a report by the Boston Consulting Group, asset tokenization will expand into a USD16.1 trillion business opportunity by 2030. Coupled with the growing demand for alternative investment avenues from millennials and the next generation of investors, this represents an opportunity for us to explore the potential of this domain, aligning with our vision to be the most innovative bank for our customers, people and communities.”

Pedro Sousa Cardoso, Chief Digital Officer, Retail Banking and Wealth Management, Emirates NBD, said, “Tokenization is considered the future of financial markets, offering benefits such as lower costs and reduced settlement times. As pioneers in technology adoption in the region, we are actively exploring the tokenization space to maintain our competitive edge against more agile fintech companies. Our exploration of solutions related to tokenized real-world assets further builds on Liv’s aspiration to serve our Gen Now customers by providing a range of innovative and in-demand products to meet their financial needs.”

Matt Ong, Founder and CEO, Ctrl Alt, added, “At Ctrl Alt, we are passionate about providing accessible infrastructure solutions to the thriving tokenized asset sector from Digital SPVs to Fund Structuring.

We are really excited to be partnering with Liv who are paving the way for tokenized real-world asset investing. Liv truly represents the future of banking with its clear customer-centric focus on innovation and is waving the flag for the next generation of investors who are demanding diversification. We are excited about the opportunity that this partnership will bring to their customers and cannot wait for what is to come.”

UAE regulator grants QCP capital approval to offer crypto derivative trading solutions

UAE regulator grants QCP capital approval to offer crypto derivative trading solutions

QCP, an institutional digital assets company, announced in a press release, that they have received In-Principle Approval from the Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) to conduct regulated activities. According to the press release, the decision to make a move into this strategic market for the company’s footprint was in anticipation that the Middle East is going to become a dominant global hub for capital flowing into traditional and digital assets.

Founded in 2017 QCP is one of the largest trading desks in the world for digital asset derivatives and a provider of trading solutions and structured strategies. Ernst & Young finds that as of September 2023, the monthly volume of crypto derivatives stands at US$1.33 trillion, which is nearly four times the size of the crypto spot market. With most of the crypto derivative market currently existing outside the US, Abu Dhabi and the UAE have a lot of potential to capture this market segment.

In addition, with notable financial institutions such as Goldman Sachs and Brevan Howard launching in Abu Dhabi last year, Abu Dhabi is rapidly attracting its target segment of clients including family offices, traditional and crypto native macro hedge funds, high net worth individuals, blockchain protocols, VC funds, brokerages and more. QCP also previously announced a partnership with Further Ventures, which is reflective of how the company plans to meet the demand for financial and derivatives digital asset offerings in the market.

Melvin Deng, CEO, QCP said, “The IPA is a significant development for us and advances our goal of embracing greater regulation. We are committed to meeting ADGM’s transparent and high standards of regulatory compliance. Our intention is to be a responsible player that wants to support market confidence. We are proud to be the first Singaporean digital asset market maker and broker-dealer to set up here in the market and hope we can encourage others to venture into this dynamic market. We want to learn from what other players are doing in Abu Dhabi and the region and bring our expertise as a first mover in digital assets to the ecosystem.”

Arvind Ramamurthy, Chief of Market Development at ADGM said, “We congratulate QCP on receiving its IPA from ADGM and welcome them to Abu Dhabi’s thriving international financial centre. With a leading trading desk and digital asset capabilities, we look forward to QCP’s integration into ADGM’s ecosystem, which will streamline regional opportunities. As the digital assets landscape continues to evolve in the Middle East, we anticipate more companies like QCP to recognise the progressive and comprehensive nature of ADGM’s regulatory frameworks, fostering confidence in choosing Abu Dhabi as their regional base.”

QCP will continue to have its main company headquarters in Singapore while leveraging on Abu Dhabi as a base to break new ground and drive innovation. It is well positioned to expand on the back of strong business growth, with a 64 % Y-o-Y increase in Q1 trading volumes. In line with QCP’s long term commitment to the UAE, subject to the regulatory approval for the grant of the FSP, the company plans on making further investments to invest in their presence in the UAE.