Jordanian government approves crypto regulatory framework

Jordanian government approves crypto regulatory framework

The Jordanian government Cabinet, chaired by Prime Minister Jafar Hassan, has approved the establishment of a comprehensive regulatory framework for virtual and digital assets within one year. The initiative aims to align with global standards and foster a robust digital economy in Jordan.

This decision follows directives from His Majesty King Abdullah II, supported by His Royal Highness Crown Prince Al Hussein bin Abdullah II, to advance the tasks of the National Council for Future Technology. It reflects Jordan’s commitment to modernizing its financial technology sector and empowering innovative Jordanian youth to excel in the digital economy.

As such the Jordan Securities Commission has been tasked with defining the requirements for entities engaging in virtual assets and developing the legal and technical infrastructure to license and regulate global trading platforms. A preliminary study conducted by the commission highlighted the need for a regulatory framework aligned with international standards, focusing on combating financial crimes and ensuring governance.

A ministerial committee, chaired by the Minister of Digital Economy and Entrepreneurship and including key officials from the Central Bank of Jordan, the Jordan Securities Commission, the National Cybersecurity Center, and other entities, has been assigned to address challenges and oversee the regulatory process. The committee’s mandate includes formulating a governance framework that fosters innovation while safeguarding investor interests.

As per the press release, by regulating virtual and digital assets, Jordan seeks to enhance its competitiveness in regional and global markets, attract investments, and create opportunities for local entrepreneurs. The initiative also aims to mitigate risks such as money laundering and cyber threats, ensuring compliance with Financial Action Task Force (FATF) recommendations. Furthermore, the framework will encourage the development of innovative solutions by startups, bolstering the Kingdom’s position as a regional leader in financial technology.

Previously the Jordanian government had approved its blockchain framework for governmental services for 2025.

DKK Digital receives preliminary approval from VARA in UAE

DKK Digital receives preliminary approval from VARA in UAE

DKK Digital FZE, based in the Dubai World Trade Centre, as a subsidiary of DKK, has secured an in-principle approval from the Dubai Virtual Assets Regulatory Authority (VARA).

As per the press release, this is an important milestone in DKK’s journey to becoming a regulated Virtual Asset Service Provider (VASP) in the UAE.

Founded in England, DKK Partners is a multinational firm with eight offices worldwide operating as an exchange liquidity provider specializing in emerging markets. The company offers corporate and institutional clients worldwide seamless, interoperable FX and settlement solutions.

The recent In-Principle Approval from VARA enables DKK to work towards the VASP License to provide a suite of services to its clients officially. These services include seamless fiat on/off ramp capabilities, custodial services, and liquidity provision using stablecoins such as the Electronic Dirham, Tether, Ripple USD, and USD Coin. one of the services available to clients in the UAE is the DKK Ocean, an innovative e-commerce solution designed to give clients access to live-streamed rates across various fiat currencies and stablecoins.

Hisham Al Gurg, CEO of Seed Group and The Private Office of Sheikh Saeed bin Ahmed Al Maktoum, shared his enthusiasm on this development, stating, “We offer our warmest congratulations to our strategic partner, DKK Partners, on securing the In-Principe Approval. This accomplishment is a reaffirmation of their solid operational framework and innovative approach in the virtual assets sector. Their commitment to compliance with regulatory standards and forward-thinking strategies makes them a trusted partner in advancing Dubai’s digital economy.”

Driven by its goal of empowering the future of digital finance, Khalid Talukder, Co-Founder and CEO of DKK Digital FZE, remarked, “We are thrilled to have received In-Principle Approval from VARA license as a VASP. This is a key milestone that positions DKK Digital as a trusted and compliant leader in the virtual assets space. This approval aligns us with global regulatory standards, enabling us to deliver secure, innovative solutions while fostering trust among clients and partners. It also opens doors to broader markets, institutional collaborations, and the development and distribution of cutting-edge digital asset products, further solidifying our role in shaping the future of virtual assets in the UAE and beyond.”

ACCESS: Consistent, reliable access to currencies and liquidity, enabled through our local presence, global partnership network, and banking experience.

Dubai VARA asks VASPs to follow and comply with sanction alerts rigorously

Dubai VARA asks VASPs to follow and comply with sanction alerts rigorously

On September 18th 2024, Dubai’s Virtual Asset Regulatory Authority shared a circular addressed to VASPs ( Virtual Asset Service Providers) in UAE requiring them to continuously updated their sanction alerts by registering to the Mandatory registration on the Executive Office for Control & Non-Proliferation [EOCN] system for sanction alerts.

According to the announcement, “VARA is mandated to assure market stability that is in turn contingent on every participant’s financial robustness and responsible market conduct – that collectively allow for the industry to operate on par with best-in-class international standards. The Executive Office for Control & Non-Proliferation [EOCN] was established in the United Arab Emirates in 2009 as the National Leader in the UAE to ensure the implementations of Targeted Financial Sanctions [TFS] imposed by the UAE, UN and FATF standards.”

The Terrorist Financial Sanctions, are aimed at denying certain individuals, groups, organizations, and entities the means to support terrorism or finance the proliferation of weapons of mass destruction; and ensuring no access to funds, financial assets or economic resources of any kind as long as they remain subject to the sanction’s measures.

As such VARA requires that VASPs and LoP holders to screen their user databases without delay [within 24 hours] each time the TFS list is updated to identify any matches against the latest list, and to ensure designated entities on the TFS list are immediately prevented access to funds owned or controlled, wholly or jointly, directly or indirectly, by the designated entity or to funds owned or controlled, wholly or jointly, directly or indirectly, by a person or organization acting on behalf or at the direction of the designated entity; and report any activity involving designated entities to the Financial Information Unit [FIU] in line with Rule III.F of VARA’s Compliance and Risk Management.

According to the regulator, VASPs failure to comply might lead to substantial criminal and civil penalties which could include suspension, restriction, or prohibition of activity business or profession and even revocation of operational license.

Liminal Custody opens Dubai office in preparation for VARA crypto license

Liminal Custody opens Dubai office in preparation for VARA crypto license

Liminal Custody, a digital asset custody and wallet infrastructure provider has opened an office in Dubai as it awaits its license from VARA after receiving its license in ADGM in Abu Dhabi. The Dubai office will be located in Sheikh Rashid Tower in Dubai within the Dubai World Trade Center Free zone.

According to the press release, this move marks a significant milestone for Liminal as it seeks to cement its role as a key player in the rapidly growing digital asset industry within the MENA region, known for its innovation and institutional adoption.

The expansion enhances Liminal’s existing presence in the region, which includes a Financial Services Permission (FSP) licence from the Financial Services Regulatory Authority (FSRA) in the Abu Dhabi Global Market (ADGM).

“Our expansion to Dubai, along with our Initial Approval(IA) for a VASP licence from VARA, highlights Liminal’s commitment to fostering the secure growth of the regional digital asset ecosystem,” said Amir Tabch, CEO Middle East at Liminal Custody. “We are eager to collaborate with established entities like DWTC and work closely with VARA to enhance our service offerings. This strategic move enables us to provide comprehensive custody solutions tailored to the evolving needs of Dubai and the broader MENA market.”

In May Liminal Custody acquired the Financial Services Permission (FSP) from the Abu Dhabi Global Market (ADGM) Financial Services Regulatory Authority (FSRA) allowing it to operate as a regulated crypto custodian within the Middle East.

HexTrust another crypto custodian has already received its license from VARA

Hex Trust receives full crypto brokerage and staking license from Dubai’s regulator

Hex Trust receives full crypto brokerage and staking license from Dubai’s regulator

Hex Trust Group, a provider of digital asset solutions for institutional finance, protocols, foundations, and the Web3 ecosystem, has secured its fully operational Virtual Asset Service Provider (VASP) license, for crypto brokerage, management, investment and crypto staking from the Virtual Asset Regulatory Authority (VARA) in Dubai. This second license extends to its VA Broker-Dealer and VA Management and Investment arm, HT Markets MENA FZE. VARA had announced on its website previously that Hext Trust had received this license but it was pending full fulfillment of all requirements.

Hex Trust received its first VASP license back in November 2023, allowing it to provide virtual asset (crypto) custodial services to institutional clients and sophisticated investors.

With this second license Hex Trust will be able to offer comprehensive Virtual Asset services covering Broker-Dealer and Management and Investment Services, which includes regulated Staking Services.

When asked by Lara on the Block, why Hex Trust has chosen the UAE and Dubai to be licensed, Filippo Buzzi, Regional Director for MENA noted, “Hex Trust operates within jurisdictions known for their robust investor protections and progressive regulatory environments, spanning across Hong Kong, Singapore, Dubai, Italy, and France. In the UAE and Dubai, Virtual Assets Service Providers (VASPs) benefit from an environment characterized by supportive regulations, strategic positioning, tax advantages, an investor-friendly atmosphere, and advanced technology. As the crypto industry continues to develop, the UAE’s proactive stance towards growth positions it as an attractive destination for crypto businesses, offering significant opportunities in this rapidly evolving sector.”

As per the press release, Hex Trust Markets offers safe access to the DeFi ecosystem, where clients can generate yield with native on-chain staking solutions and execute trades with the support of Hex Trust’s dedicated Markets team. Key offerings include:

  • A global trading team with dedicated client support providing 24/7 trading coverage.
  • OTC trading solutions across the full spectrum of Virtual Assets, including tailored sales / purchase programs to optimize across Price, Time Horizon and Market Impact, employing proprietary execution algorithms to support bespoke execution strategies.
  • Deep liquidity and broad access within the Virtual Asset Markets.
  • Risk Management solutions catering to corporate treasury risk management requirements.
  • Fiat Solutions facilitating on-ramp / off-ramp services.

Filippo Buzzi adds, “The approval of this additional VASP license demonstrates Hex Trust’s commitment to fostering crypto ecosystem innovation and enabling safe market access in the Middle East. We are fully committed to expanding into the region and see enormous potential for digital asset growth given the progressive regulations, welcoming governments, and thriving crypto ecosystem.”

Speaking to Lara on the Block on the growth of crypto assets market in MENA, Buzzi stated, “UAE, GCC, and the broader MENA region represents a promising market for Hex Trust, largely due to a growing ecosystem supported by a clear regulatory framework and a forward-thinking approach to digital finance. Dubai, in particular, has established itself as a global blockchain hub, supporting the growth of the crypto assets industry. VARA, the first independent regulator for virtual assets, played a key role to position Dubai as a regional and international hub for Virtual Assets.”

“Hex Trust’s commitment to compliance and regulation has always been a priority, and this has earned us a reputable standing as a reliable partner for both crypto-native and traditional finance institutions. There is so much potential in the Emirate of Dubai and the issuance of the VASP license for Hex Trust Markets demonstrates the evolution of our digital asset service provision to meet the demands of our clients and the market.” – Alessio Quaglini, Co-Founder and CEO of Hex Trust.

So far VARA has licensed 12 crypto broker VASPs, and only one VASP which offers custody services and that is Hex Trust. Noteworthy that only Komainu offers custodial staking services.

Binance CEO says little in his 100 days letter

Binance CEO says little in his 100 days letter

On the first of March 2024, Binance’s CEO Richard Teng, wrote a public letter entitled “My First 100 Days Leading Binance”. While he covered the growth in user base reaching 178 million registered users, and the $3 billion in net inflows between November 2023 and February 2024, he didn’t cover the regulatory woos still facing Binance, and for that reason what he didn’t write is seemingly as important and what he did write.

In his letter he states, “Indeed, our user-focused DNA continues to be the driving force behind people’s trust in Binance and the corresponding growth of our user base, with more than 178 million registered users as of today. Moreover, since our resolutions with US regulators, we continue to demonstrate a very strong financial performance. As reported by Bloomberg based on the data from DeFi lama, we recorded net inflows of more than $3 billion between late November and late February, outpacing what our biggest competitors took in over the same period.”

When he did speak about regulation he acknowledged once again that regulation is an indispensable part of the lifecycle of all innovative sectors. He also noted that robust regulatory frameworks must be built on basic principles of maximizing protection for users while fostering a safe and sustainable ecosystem that can grow responsibly.

In his one note with regards to licensing, he states that over the past three months, (100 days) Binance has made “significant headway” in negotiating licenses and authorizations.

The only result he had to put on the table was Gulf Binance, an exchange and brokerage platform in Thailand, a joint venture between Binance and Gulf Innova. Gulf Binance successfully launched its full operations, extending access to digital assets to potentially millions of Thai crypto users and crypto-curious.

What was not said in the 100-days letter is as important as what was said. For example, Richard Teng didn’t speak about any of the licenses that were currently underway, or of the issues still plaguing Binance in other jurisdictions.

When it comes to MENA region, while Binance holds a license in Bahrain, to date it has not been able to receive its full VASP license from Dubai’s virtual asset regulatory authority. This stall comes as more and more crypto brokers and exchanges are receiving licenses in the UAE, one of which is M2 in Abu Dhabi and several others in Dubai including CoinMENA, and OKX.

OKX which has grown its market share over the past year, also just received an in-principle approval for a Major Payment Institution license from the Monetary Authority of Singapore (MAS), and officially launched its Turkish exchange in February. OKX has rapidly expanded globally, launching localized platforms in markets like Brazil.

While Binance for example was absent from applying for a license in Hong Kong. 24 companies vied for licenses to operate digital-asset exchanges ahead of the looming May deadline. Hong Kong attracted players such as Bybit, OKX, and Crypto.com. Since then, Hong Kong’s markets regulator has recently warned the public about the crypto exchange ByBit and several of the products it offers to investors.

The latest TokenInsight report reveals that 2023 witnessed shifts in market share and trading volume among top exchanges, with Binance’s numbers decreasing from 54.2% to 48.7% while OKX’s and Bybit’s increasing by 4.3% and 2.2%, respectively. While Binance still holds number one position in terms of market share according to CoinMarketCap, Bybit now holds number three and OKX fourth.

Teng also doesn’t mention the ongoing battle in Nigeria. Most recently, Nigerian authorities are urging Binance to provide details about its most prominent 100 users within the nation amidst a continued clampdown on the platform. The request is a focal point in discussions between Binance and Nigeria, with the government perceiving the exchange as a key obstacle hindering its attempts to strengthen the national currency, the naira.

In response to the crypto exchange’s attempts to engage in dialogue with Nigerian authorities, two senior executives, Tigran Gambaryan and Nadeem Anjarwalla, were reportedly detained by local prosecutors. Notably, the executives remain in custody despite Binance’s decision to delist all naira transactions and halt peer-to-peer naira transactions in late February.

Then there is Binance U.S., where the SEC alleged Binance.US was not abiding by the terms of a consent order in its case against the U.S.-based crypto exchange and its global parent. As per the SEC the company did not prove to the SEC’s satisfaction that Binance global employees did not have access to U.S. customers’ assets.

Consequently, the 100-day letter shows that Richard Tengis is nothing like his predecessor CZ. Teng would rather stay quiet to the hurdles facing the company within the last 100 days, obstacles that most likely will have an effect on license applications in countries such as the UAE.

As he talks of success and how it should not be taken for granted, and of his plans to welcome in institutional investors offering them the range and quality of services that would make them as he says, “stick around for the long haul”, one cannot but wonder if the 200-day letter will be written.

From UAE to Turkey Crypto exchange OKX expands in MENA

From UAE to Turkey Crypto exchange OKX expands in MENA

After OKX received its crypto exchange VASP license from Dubai UAE through VARA ( Virtual Asset Regulatory Authority), the crypto exchange now receives a license in Turkey. OKX TR, will provide Turkish users with a trusted, compliant and transparent gateway to crypto trading and decentralized finance. The OKX Web3 Wallet is currently available in Türkiye through OKX’s global platform.

With the launch of OKX TR, users have access to enhanced localized features, including Turkish Lira direct deposits and withdrawals from banking partners such as: Fibabanka, VakıfBank, Ziraat Bankası, İş Bankası, Şekerbank and Türkiye Finans. The OKX TR team also offers 24/7 local customer support in Turkish and English, ensuring users receive timely assistance and comprehensive guidance when needed.

Also available is OKX Wallet, a non-custodial Web3 wallet that provides access to a user-friendly self-custody portal to trade NFTs, use dApps, and more. It’s the first wallet to feature both Multi-Party Computation (MPC) technology and Account Abstraction (AA) features, which paves the way for wider adoption among less technical users.

OKX President Hong Fang said: “The official launch of OKX TR is a significant milestone in our global expansion strategy. With a crypto adoption rate close to 50%, Türkiye represents a very dynamic and promising market for the industry as it continues to develop. The population’s high level of engagement and understanding of digital assets makes it an ideal environment for OKX, and we’re strongly committed to helping continue to grow this already vibrant ecosystem.”

OKX TR Board Chairman Mehmet Çamır said: “The launch of OKX TR is a testament to our belief in the country’s huge potential for growth and our commitment to the market. Already a global leader in crypto trading, Türkiye is also in a prime position to grow in the decentralized finance space. We’re excited to support this development, and firmly believe that our presence here will play a pivotal role in nurturing Türkiye’s emergence as a Web3 innovation hub.”

Turkey gives the UAE a run for its crypto status

Turkey gives the UAE a run for its crypto status

For as long as can be remembered, the UAE has been at the forefront of the crypto scene in the MENA region. To date it has outpaced most of the countries in the region, but it seems that Turkey is starting to give the UAE a run for its crypto status.

During the past several weeks many crypto related announcements have been coming out of Turkey.

The first which was interesting was the expansion of Turkish home grown crypto trading and mining platform to Brazil. Bitci aims to open a cryptocurrency trading platform in Brazil and then Spain.

Chief Executive Onur Altan Tan said in an interview that he hopes a Brazilian exchange will build on its tie ups with soccer clubs there, given that the company offers fan tokens.

He stated, “We are opening a crypto exchange in Brazil because we have valuable assets there. We have released fan tokens of Brazil’s national team and we have agreed with six other clubs.”

Tan said after Brazil and Spain, Bitci plans to open crypto exchanges in some countries in Central Asia, India and Russia in 2024. 

But that is not all that is coming out of Turkey. Turkish banks are also gearing up towards crypto. Turkish AkBank announced the acquisition of local crypto firm Stablex as it aims to become a key player in the digital asset space.

Then Garanti BBVA, another leading Turkish bank, launched its crypto wallet app the following day. The application has a cold wallet feature and allows users to send and receive assets like Bitcoin (BTC), USD Coin (USDC) and ether (ETH).

Turkey ranks among the top 20 countries in Chainalysis’ Global Crypto Adoption Index 2023.

Finally Turkey’s finance minister, Mehmet Simsek, recently announced that the nation’s crypto regulations are in their “final stages.” According to the report, these impending regulations are designed to mitigate the risks associated with trading in crypto assets and faciliatate the removal of Turkey from FATF (Financial Action Task Force) grey list.

The proposed regulations outline a licensing framework for digital currency asset trading platforms overseen by Turkey’s Capital Markets Board (CMB). This framework will introduce minimum operating standards, including specific requirements for founders and managers, organizational obligations, and capital stipulations.

As reported by Reuters, Simsek’s announcement reflects Turkey’s approach to integrating crypto assets into its regulated financial landscape.

This is happening while the UAE still lags behind when it comes to Central Bank framework for virtual assets payments, remittances and settlements. While many crypto exchanges in the UAE have received licenses, none have confirmed which banks they are working with when it comes to fiat and crypto on and off ramp.

In terms of traditional banks, again most UAE banks have stayed away from crypto. It hasn’t helped that the UAE Central Bank issued a new guidance on anti-money laundering and combating the financing of terrorism (AML/CFT) for licensed financial institutions (LFIs) with a focus on the risks of dealing with virtual assets.

Companies such as WadzPay still await the Central Bank framework that would allow them to move forward with their pilot solution with Dubai Duty Free for implementing a digital assets settlement platform. But so far the only partnership Dubai Duty Free has signed up with is AliPay allowing customers access promotions and pay with their home digital apps at duty-free stores at Dubai and Al Maktoum International airports.

UAE experts and regulators weigh in on U.S. Bitcoin ETF

UAE experts and regulators weigh in on U.S. Bitcoin ETF

The globe is reacting to the U.S. SEC’s green light to launch the first US listed exchange traded funds, Bitcoin ETFs for 11 companies and has had a ripple effect in the MENA region. The SEC approved the Bitcoin ETF on January 10th, with skepticism towards crypto still present in Gensler’s statement.

The full list of companies that got SEC approval to launch Bitcoin ETFs are: Ark Invest together with 21 Shares; Bitwise, BlackRock, Fidelity, Franklin Templeton, Grayscale, Hashdex, Invesco, WisdomTree, Valkyrie and VanEck. Some of their ETFs will be trading on January 11th 2024.

The Bitcoin ETFs will track Bitcoin, opening the door to cryptocurrencies to many new investors who don’t want to take the extra steps involved in buying actual Bitcoin.

So what is an ETF? An ETF is an easy way to invest in assets or a group of assets without having to directly buy the assets themselves. It is similar for example to the SPDR Gold Shares ETF allows anyone to invest in gold without having to find a place to store a bar or protect it. In addition, ETFs can also be easily traded on stock exchanges.

The decision to approve the ETFs is a win for huge fund managers like BlackRock, Fidelity Investments and Invesco who will manage the funds given they have pushed hard to get the SEC to approve them.

Yet Gary Gensler, SEC’s chairman stated, “Investors should remain cautious about the myriad risks associated with Bitcoin and products whose value is tied to crypto.” While other commissioners expressed alarm that the SEC agreed to approve the funds.

Regardless of the negative statements, Standard Chartered analysts said the ETFs could draw $50bn to $100bn this year alone, potentially driving the price of Bitcoin as high as $100,000. Others have said inflows will be closer to $55bn over five years.

All this has brought forth speculations that fund managers will create ETFs around Ethereum soon.

While most agree that the success of Bitcoin ETFs will depend on fees and liquidity. This is why some issuers have proposed fees between 0.2% to 1.5% such as BlackRock and Ark/21shares while other firms have waived fees entirely for a certain period of time.

UAE experts, regulators, investors, and crypto exchanges weighed in their views on the U.S. Bitcoin ETF, and here is what they had to say:

Bitcoin ETF a significant milestone for the industry that could spur investment

Dubai’s virtual asset regulatory authority represented by its CEO Mathew White told LaraontheBlock, “Without a doubt, this ETF approval is a significant milestone for the industry. We need to wait and see what the capital inflows look like to see the real impact, but in theory we could see increased liquidity and reduced volatility of Bitcoin over time, which is good for the industry as a whole in the long term. Stability and transparency pave the way for more innovation and I expect this move to eventually spark further investment into this sector.”

Bitcoin ETF: will unlock wider adoption of crypto in UAE

Saqr Ereiqat, Co-Founder and Managing Partner at Crypto Oasis Sentio commented, “The recent regulatory green light for Bitcoin ETFs marks a pivotal moment for the global financial landscape, and its ripples are likely to be felt particularly strongly in the United Arab Emirates. This landmark decision unlocks doors for wider adoption of cryptocurrency within the UAE, a region already well-positioned to become a global crypto powerhouse.”

Bitcoin ETF: legitimacy and recognition from traditional financial institutions

Stefan Kimmel CEO M2 a UAE regulated crypto exchange, explained that while other countries had already approved Bitcoin ETFs previously, the recent approval in the US marks a “monumental shift for the entire cryptocurrency ecosystem.  It feels like a turning point and an emotional victory in the ongoing narrative surrounding Bitcoin. This development not only provides investors with a more accessible avenue to enter the Bitcoin market but also adds a layer of legitimacy and recognition from traditional financial institutions.”

He adds, “The ETF approval will attract a broader range of investors, including institutional players who may have been on the sidelines due to regulatory uncertainty. This merging has the potential   to redefine investment strategies, allowing investors to diversify portfolios seamlessly across traditional assets and digital assets.”

In terms of the UAE He believes, “The UAE has strategically positioned itself as a global hub for digital assets. With the ETF approval, the UAE is now perfectly poised to take advantage of a new wave of digital asset investment driven by institutional investors searching for regulatory clarity and a favorable market environment. The approval signals a growing acceptance of digital assets within the mainstream financial system, potentially paving the way for similar advancements in the broader cryptocurrency space.”

Bitcoin ETF: Bitcoin can now take on the mantle of Digital Gold

Matt Dixon Founder and CEO Evai Crypto ratings, which uses AI and Machine learning technology to help crypto traders build wealth, believes that this green light is an important milestone where the phase is now ripe for the entrance of institutional adoption after early retail adoption allowed BTC to grow from $0 to $69,000.

He states, “ETF approval should translate to an increased demand, whilst Bitcoin Halving in April reduces the supply. Now if we consider the Stock to Flow Ratio, which incidentally has been a great predictor of Bitcoin pricing, then indications are that Bitcoin could at last take on its mantle of Digital Gold. As of April it will achieve higher Stock to Flow ratio than the precious metal itself. This could create a real squeeze on price with the possibility of Bitcoin achieving price projections of up to $1 million according to some industry analysts.”

He adds, “With the potential of further QE Fiat money printing by the FED if the US economy enters recession this year as some predict, then the limited supply of Bitcoin could cause it to shine even brighter.”

Bitcoin ETF: Investing in Bitcoin directly is better than investing in its derivative

Talal Tabaa Co-Founder and CEO of CoinMENA, a regulated crypto broker out of UAE and Bahrain, believes that Bitcoin ETF’s will add a lot more credibility to Bitcoin, and the UAE will soon follow suit. He also espouses that the best way to buy and invest in Bitcoin is directly.

He states on LinkedIn, “ There are three reasons why investing in Bitcoin directly is better than investing in a bitcoin derivative, First is Zero Management Fees: While ETF firms compete to lower their management fees, there are no fees for holding actual Bitcoin, leading to higher returns over time. Secodly is 24/7 Trading: ETFs only trade between 9:30 am and 4:30 pm on weekdays (if it’s not a holiday). Bitcoin trades 24/7, every day, and finally not your keys, not your coins: Owning Bitcoin in self-custody means having complete control over the asset with no counterparty risk. This will become increasingly important over the years.”

Bitcoin ETF: Bitcoin resilience paving the way to an Ether ETF

 Ben Zhou, co-founder and CEO of Bybit, the world’s third largest crypto exchange by volume, believes the approval of the Bitcoin ETF is a testament to the resilience of Bitcoin, an asset that continues to outperform despite facing an array of challenges.

In a commentary he states, “I believe that the real significance of the Bitcoin ETF extends far beyond today’s market dynamics. It heralds a new epoch of institutional and wider crypto adoption, paving the way for an Ether ETF and mixed products like a Bitcoin and Gold ETF. It’s a clear indicator that crypto’s inherent value as a global transaction system with near instant finality and total transparency is being realized. nd now, with everything in place, we anticipate greater institutional exposure to crypto. The investment landscape is evolving, and digital assets are becoming a mainstay in the portfolios of investors worldwide.

Conclusion

Regardless of the positive reactions and some negative ones too, the United States approval of a Bitcoin ETF is a win for the crypto community of enthusiasts. It means crypto is here to stay whether you like it or not. It means acceptance has started amidst regulation.

The UAE will make the best of it given it has already prepared the ground work.

For the skeptics it means the financial freedom once espoused by the early adopters of crypto could be eroded in the future. The big guys are taking over, the BlackRocks of the world are now playing the game.

Yes Bitcoin will soar, but will it continue to democratize the financial system, that is another story altogether.

UAE CoinMENA to reduce fiat to crypto costs

UAE CoinMENA to reduce fiat to crypto costs

UAE CoinMENA licensed crypto exchange will be able to reduce fiat to crypto transaction costs after being awarded its license from VARA, the Dubai virtual asset regulatory authority. CoinMENA holds a broker license allowing it to cater to retail and institutional clients.

With the license CoinMENA now has, it can serve clients from Dubai and utilize local banking services. Users can now instantly deposit and withdraw funds.

As Talal Tabbaa CO Founder of CoinMENA  explained, “Dubai is at the forefront of crypto growth and innovation, launching various initiatives to push the adoption of the digital asset in the region. Working with VARA will enable us to better serve our institutional and retail users in the Emirate as well as reduce fiat to crypto transaction costs.”

Dina Sam’an Co Founder and Chief Operation Officer added, “Building strong relationships with local regulators has been a priority for us since day one. We are delighted to have received a license from VARA, which further strengthens our market position and gives confidence to our users and investors.”

CoinMENA is the fifth crypto broker to receive a license from VARA. CoinMENA and others have received licenses both broker and exchange before Binance and other international players such as Crypto.com and OKx have.

CoinMENA already holds a license in Bahrain.

This comes two weeks after M2 launched in Abu Dhabi with full crypto exchange services. Dubai and Abu Dhabi are proving to be the center of regulation casting doubt on the regulatory environment in other countries such as the USA.