Sastanaqqam a blockchain Web3 company moves headquarters to UAE

Sastanaqqam a blockchain Web3 company moves headquarters to UAE

Blockchain and Web3 Company, Sastanaqqam, has relocated its headquarters to Dubai UAE. It will be present at the One Central district in Dubai at the end of March.

One Central has become a pivotal hub for cryptocurrency enterprises, known for its state-of-the-art facility and a business-friendly regulatory environment. This district houses notable crypto entities like Bybit’s global headquarters and the, a hub for cryptographic and blockchain technologies.

Sastanaqqam’s relocation to One Central reflects its alignment with Dubai’s vision as a leader in technological advancement and financial innovation. “Our move to One Central isn’t just a relocation; it’s a strategic decision to integrate with a community at the forefront of blockchain and digital currencies,” said Azzi Mohamed Mbarek, COO of Sastanaqqam.

The decision to establish a base in One Central, alongside pioneering crypto platforms such as Deribit, underscores Sastanaqqam’s ambion to be at the forefront of the crypto revolution. Dubai’s One Central offers an environment ripe for collaboration, innovation, and growth, making it an ideal location for Sastanaqqam’s expansion.

In anticipation of this significant move, Sastanaqqam is ramping up its recruitment efforts, aiming to attract top talent in blockchain and fintech. The new office in One Central will be equipped with the latest technology and designed to foster innovation and collaboration.

Local businesses and the community in One Central are excited about Sastanaqqam’s arrival. “Sastanaqqam’s addion to One Central is not just a boost to our local economy; it also reinforces our status as a leading tech and financial hub,” shared One central business development team.

Established in 2021, Sastanaqqam is a company specializing in blockchain and Web 3.0 technologies, with a focus on integrating art, gaming, and DeFi to create a comprehensive digital ecosystem.

Aquanow receives crypto broker license from VARA in Dubai

Aquanow receives crypto broker license from VARA in Dubai

Canadian based Aquanow ME FZE local UAE entity, a digital assets liquidity infrastructure provider, has received a full virtual asset service provider license from Dubai Virtual asset regulatory Authority (VARA).

The license which is currently pending, will allow Aquanow to offer crypto broker dealer services as well as investment services. Aquanow will also be able to offer crypto lending and borrowing services.

Aquanow has been operating crypto infrastructure at scale since 2018.

In January 2023, Aquanow and Gate.io, a global cryptocurrency exchange with over $6B in daily volume, entered into a partnership to build global liquidity for the next wave of blockchain projects.

In June 2023 Aquanow, announced that it had received initial approval from Dubai’s Virtual Asset Regulatory Authority (VARA), while it undertakes the in-depth process of applying for a license in accordance with VARA requirements.

Aquanow is a global leader in digital assets infrastructure and is a facilitator for cryptocurrency trading in over 50 countries. Aquanow ranked amongst the fastest growing companies with a four-year revenue growth rate of 1,842%, according to the Deloitte Technology Fast 500 list.

“Dubai’s D33 vision of emerging as a top global financial center and major hub of innovation, testing, and commercialization of new technologies was a key factor in making the Emirate the centerpiece in our international growth efforts,” said Phil Sham, Aquanow Co-Founder and CEO. “We look forward to enabling a range of crypto use cases, and contributing to the region’s efforts that are leading the virtual assets industry in balancing consumer protections with world-changing technology.”

With this VARA has awarded OKx, CoinMENA and several other crypto exchanges and brokers in the UAE licenses to start their operations in a regulated manner.

Article updated with quote at 7:50 UAE time.

DMCC Crypto Center and QX Lab to launch AI Center

DMCC Crypto Center and QX Lab to launch AI Center

UAE based DMCC ( Dubai Multi Commodities Center) has partnered with the Dubai-based artificial intelligence firm Qx Lab AI as it gears up to launch the DMCC AI Center later this year.

Through its ‘Ask Qx’ platform, Qx Lab AI offers generative AI capabilities that can be integrated into services such as online chat functions or used by businesses and individuals to enhance productivity.

Ask QX’s unique neural architecture offers unprecedented scalability for the product, providing a digital infrastructure that can benefit firms by reducing overall computational power costs, building up platform security, and creating a protective shield against potential data breaches.

With this groundbreaking technology, QX Lab AI aims to become the first AGI company in the world to access and leverage 372 billion parameters.

Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer, DMCC said: “In a short space of time AI has emerged as the single biggest force reshaping the way we do business – and we have barely scratched the surface of its potential. As we prepare for the imminent launch of DMCC’s AI Center, I am delighted to be partnering with Qx Lab AI whose unique generative AI platform and revolutionary neural architecture will provide DMCC and its members with unprecedented opportunities to enhance efficiency, productivity, and platform security at scale. This is just one example of the innovations we are pioneering from DMCC, reinforcing Dubai’s status as one of the world’s leading technology and AI hubs for years to come.”

Tilakraj Parmar, Co-Founder and CEO, QX Lab AI, added: “The significant amount of money invested globally in AI research and deployment is just the start of a seismic shift in the way we all operate – both professionally and personally. We are glad to bring our AI capabilities to DMCC and its 24,000 member companies as we position Dubai at the forefront of AI research and deployment.”

Today the DMCC Crypto Centre is home to over 600 Web3 firms, making it the largest concentration of crypto and blockchain companies in the region. Since its launch in 2023, the DMCC Gaming Centre has welcomed over 100 gaming companies, from developers and publishers to esports teams and software engineers, positioning Dubai as a hub for the immersive form of entertainment.

In 2023 DMCC Crypto Center had announced it had 500 crypto and blockchain companies in the center. Since then DMCC crypto center has signed partnership agreements with Solana and others.

Future of Decentralized mobility is now in Dubai, with DRIFE Web3.0 Taxi

Future of Decentralized mobility is now in Dubai, with DRIFE Web3.0 Taxi

The best companies that have ever existed are those that are built with conviction and passion, DRIFE is such a company. Based on the concept that centralization eventually equates to monopolization, the Founder of DRIFE, a decentralized ride hailing platform built on the Sui Blockchain, Firdosh Sheikh believes that both taxi drivers and their riders deserve a more transparent, secure, cost effective system that benefits both parties. Today with DRIFE being licensed in Dubai UAE that dream is now available in the UAE.

The dream behind DRIFE

DRIFE started and continues to be a personal journey. According to Firdosh, it all started during an UBER ride to an airport in India. As Firdosh explains, “I have always been a user of taxis as my means of transportation starting early on when I moved to Delhi for my studies, and then afterwards in Bangalore while I was working as a financial analyst. Yet one midnight drive to an airport changed everything.”

It was on that evening that the UBER driver had asked her to cancel the trip telling her he would take her at a much lower price. Asking him why, she discovered that UBER was taking 35% commission leaving him with a profit of less than 50% after cost.

After that drive, Firdosh began speaking to all the drivers she would use for rides. The same story emerged, high commissions, no health insurance, and a feeling that they were caught in a vicious circle and still struggling.

She spoke to 1000 drivers, and in the back of her mind she remembered how her father had started his career as a taxi driver, and how as a young girl she would wait patiently for his return while he worked hard to earn money for his family.

It is then she decided that she wanted to change this. She had read about how Bitcoin had offered freedom to the financial sector, and realized Blockchain could do the same for the mobility sector.

Firdosh calls it Taxi 3.0 for short. In her experience Taxi 1.0 was where people would book an unmetered taxi and agree the fare with the driver. Taxi 2.0 was where big tech got involved and everything moved to the platform. It was certainly a technical disruption and people could book and find a taxi with a couple of taps on their mobile phone.

DRIFE is Taxi 3.0.It is disrupting the disruptors of Taxi 1.0, the Taxi 2.0. While Taxi2.0 was a win because of technology, it eventually became a loss for the driver. As Firdosh explains, “In Taxi 3.0, the community, the market and the driver is in control not anyone else. The market sets the prices; there are no commissions, and only a subscription fee to use the platform, so that with every ride, the money belongs to them. This direct connection allows for more personalized and customized ride-hailing experiences, where riders can choose drivers based on specific criteria, such as driver rating, car type, and other preferences.”

DRIFE: The Web3 Taxi

DRIFE utilizes an array of technologies to offer TAXI 3.0. DRIFE has a patent pending auction based dynamic pricing model and removal of middlemen’s profit which contributes to lower prices for riders and higher earnings for drivers.

The platform and its application also utilize smart contracts, a tamper proof system that is resistant to fraud and hacking. This technology ensures that transactions are conducted in a secure and transparent manner, giving riders and drivers peace of mind when using the platform.

The use of blockchain technology, specifically Sui Blockchain in DRIFE’s platform further enhances the transparency of the pricing system, ensuring that riders and drivers can trust the pricing mechanisms. The blockchain also enables DRIFE to operate with a zero-commission structure.

The platform operates on the DRF token, which serves as the native currency for all transactions on the platform. DRF token has two different utilities in the ecosystem. Riders can use DRF tokens to make payments directly to the driver, while drivers can use DRF to pay for their subscription fees.

In addition, DRIFE’s governance structure is built on a decentralized autonomous organization (DAO) model. The DRIFE ecosystem is governed by a network of token holders who have a say in the decision-making processes. The DRF token gives every stakeholder voting rights and enables them to take part in the governance, ensuring that the community needs and priorities are addressed.

DRIFE even uses NFTs (Non fungible tokens). DRIFE Council NFT is their unique approach to uphold the idea of ‘decentralization’ through DAO Governance, which endeavors the growth of the DRIFE ecosystem and brings added value to the DRIFE community.

DRIFE Council members are a group of 200 members responsible for most approvals taking place in the DRIFE ecosystem, starting with approvals for proposal voting and franchise vetting and more. According to Firdosh, “The launch of DRIFE NFT is also a strong indication of our commitment to the utility of DRF (decentralized ride-hailing fuel). We believe that DRF has a bright future as a utility token, and it will continue to play a vital role in the DRIFE ecosystem. DRIFE NFT is an integral part of the DRIFE DAO Framework.”

DRIFE IN UAE

In 2023 DRIFE achieved pivotal successes with licenses in Karnataka, India. At the end of 2023, DRIFE had over 350,000 users and 30,000+ drivers. Today DRIFE expands its operations to the UAE. DRIFE has been granted an e-hailing license.This groundbreaking achievement was made possible through the partnership with AASA Passenger Mobility Services LLC subsidiary of AASA Group, an affiliate of EII Capital (Formerly known as EMAAR Industries and Investments), DRIFE’s franchise partner in Dubai, who played a pivotal role in securing the license.

Firdosh explains, “We are very proud to have received an e-hailing license allowing us to compete against the likes of UBER and Careem which are both Taxi 2.0 mobile based taxi applications. It was not easy acquiring a license in the UAE; it took nine months because here everything is well systemized and organized. This had always been a dream of mine and very honored to see us here.”

Firdosh explains, “To start with, we will work with Limousine drivers, and then eventually we hope to get the RTA taxis on board. Riders can hail a DRIFE Taxi from Dubai and travel anywhere in the UAE.”

At present, bookings can only be made from within Dubai, so the next step according to Firdosh is to obtain a license from Sharjah as well.

In addition, DRIFE is still not utilizing its DRF token in the UAE as it needs approval from Dubai’s Virtual Asset Regulatory Authority. Firdosh states, “We are in the process of receiving approval from VARA to utilize our token, once received we will integrate it into the application.”

Drivers of DRIFE all go through an extensive KYC (Know your customer) process as well as extensive training.

The Future of DRIFE

As for the future of DRIFE not only globally but in MENA, Firdosh aims to expand DRIFE’s operations in India, and within the UAE. She then aims to acquire a license in Saudi Arabia.

Firdosh states, “We want to expand DRIFE across MENA and India, we are looking for partners in KSA because eventually we want to have a strong presence in the region.”

In the future DRIFE will be doing a fundraiser round but at the moment the focus is on the launch in the UAE. Firdosh explains, “My vision for DRIFE is for it to become a global phenomenon, impacting as many drivers as possible. In the end everyone can be part of DRIFE. For us, DRIFE is not just about WEB3 Taxi, but about solving all the problems in the mobility space.

Firdosh believes that drivers can contribute to building a decentralized mobility infrastructure, whether that includes maps or other infrastructure related solutions. This is one of the reasons DRIFE chose the Sui blockchain to be strategic partners to help build mobility specific use cases.

UAE virtual asset regulator to regulate tokenization, TradeFi and DeFi in 2024

UAE virtual asset regulator to regulate tokenization, TradeFi and DeFi in 2024

Dubai’s virtual asset regulator (VARA) has not only entered the social media scene but has announced its plans for 2024 which will include enhancements to its regulatory infrastructure with introduction of real world use cases for tokenized fractionalized market participation using Blockchain as well as TradeFi, DeFi regulations while it has phased out its MVP licensing program.

As per Mathew White, CEO of Dubai’s VARA, “The industry can expect to see enhancements to the regulatory infrastructure for trading, devising innovative market structures for seamless transactions, and activating real-world use cases for secure, tokenized and fractionalized market participation using trustless blockchain networks.”

Dubai’s virtual asset regulator also discussed its achievements in 2023. VARA, announced that in 2023 it awarded 19 regulated VASP licenses, of which 11 are already operational. In addition 72 initial approvals have been issued to new entrants and have commenced licensing process.

The regulator also stated that it had issued 133 application acknowledgement notices which is a reflection of its proactive and responsive approach.

A total of 116 Proprietary Trading NOCs have been issued, with an additional 37 assessed and ready to be issued while 94 non-VA activity confirmation notices were also issued.

Matthew White, CEO of VARA, commented: “As we open 2024, VARA is poised to accelerate its comprehensive focus on bolstering the infrastructure, broadening the spread and deepening the resilience of our VA ecosystem. Our commitment remains ensuring a secure and innovative environment for service providers and consumers alike. To this end, the industry can expect to see enhancements to the regulatory infrastructure for trading, devising innovative market structures for seamless transactions, and activating real-world use cases for secure, tokenized and fractionalized market participation using trustless blockchain networks.

He adds, “This endeavor involves close collaboration with market participants, particularly the mix of TradFi and native crypto with regulatory peers, underpinned by best practice protocols including those prescribed by FATF. Our goalpost remains unchanged; we started this journey 22 months ago and in this short space of time have built a strong foundation that we are in a position to accelerate from. 2024 will be the year to further Dubai’s position as the global leader in the new economy underpinned by a regulated VA ecosystem, contributing substantially to the GDP.”

When it comes to decentralized Finance, White in the press release, states, “As the lines between traditional finance and decentralized finance blur, VARA recognizes the importance of progressive technology and the need to fast-track maturity in investor and consumer protection, along with managing cross-border risks. We continue to foster awareness, education, and a collective recognition of our evolving digital landscape, leveraging marketing as a vehicle to enhance the impact of our policy-making and regulatory efforts.”

In addition the virtual asset regulator also notes that its Minimum Viable Product [MVP] Licensing program is being phased out as it has served the purpose for which it was initiated in a period where the full market regulations had not been formally launched.

All this will be done in alignment with international regulatory standards, especially FATF. VARA will collaborate with traditional finance regulators, such as the Central Bank of UAE (CBUAE) and the Emirates Securities and Commodities Authority (SCA), syncing efforts for FATF-compliant security in cross-border asset flows.

DIFC prepares digital asset inheritance plans for family offices and HNWIs

DIFC prepares digital asset inheritance plans for family offices and HNWIs

In an interesting move towards including digital assets into the wealth management value chain, DIFC Innovation Hub, global Swiss wealth management Julius Baer and Euroclear a financial infrastructure market firm, have come together to explore how family offices and HNWI ( High Net Worth Individuals) can best use technology to expand their digital asset portfolios as well as apply multi generation inheritance.

As per a press release, DIFC’s Innovation Hub experts will work closely with Julius Baer’s global innovation team and Euroclear’s innovation Centre of excellence for a three-month sprint that will result in a white paper detailing a future-oriented solution for succession planning relating tokenization applied to multi-generational inheritance. The analysis and subsequent findings will serve as a blueprint for other geographies looking to turn similar challenges into opportunities. 

It is estimated that AED 3.67trn (USD 1trn) in assets will be transferred to the next generation in the Middle East over the coming decade. However, only 24 per cent of High-Net-Worth Individuals have a full estate plan in place. Fast adoption of various digital asset classes by individuals and businesses also poses potential complexities to a seamless execution of estate plans currently in place. The DIFC Innovation Hub, Julius Baer and Euroclear collaboration will help bring tangible solutions to this global challenge.

Mohammad Alblooshi, Chief Executive Officer, DIFC Innovation Hub, commented, “The region is witnessing a trend of generational wealth being deployed across a variety of digital asset classes to diversify and future-proof their portfolios. By bringing together global leading entities across wealth management, financial services providers, tech disruptors and regulators, this newly launched innovation project will help transform one of the largest, underserved markets in the region and open doors to a more inclusive and tech enabled future for family businesses and the wealth management industry.”

Alireza Valizadeh, CEO, Julius Baer (Middle East) Ltd, added, “Generational wealth transfer is gaining momentum in the UAE, and we, as Julius Baer, are in a unique position to advise our clients having had our origins as a family business. On the occasion of Julius Baer’s 20-year anniversary in Dubai, I am hoping that this innovation project will showcase how we can work together to stay relevant to our future clients and provide a vision highlighting the evolution of the private banking industry especially with the onset of digital assets.”

Philippe Laurensy, Head of Group Strategy, Product Management and Innovation at Euroclear, noted, “As a trusted financial market infrastructure we have a strong commitment to collaborate with the market providing innovative solutions to our clients. We are extremely pleased to be working with DIFC Innovation Hub and Julius Baer on what we see as a transformative journey to address market gaps and create efficiencies by harnessing the power of tokenization. By validating and unlocking the benefits of smart contracts we have the potential to redefine the narrative of wealth management, creating solutions that could span generations.”

The DIFC Innovation Hub has been attracting as well more and more Blockchain, digital assets, Web3 companies from around the globe and locally.

Blockchain, and AI startups gravitate to DIFC AI Web3 hub

Blockchain, and AI startups gravitate to DIFC AI Web3 hub

Slowly but surely, the DIFC (Dubai International Financial Center) innovation hub has been welcoming Web3, Blockchain, AI entities and investor companies into their ecosystem. The DIFC Innovation Hub aims to have 500 entities by 2028.

So far they have welcomed in a dozen or more startups and investor partners. Most recently AI and Blockchain Company Mentat Technologies joined the AI &Web3 Campus. In November Mentat announced that it will develop an open source SAP connector and Enablement API to the Algorand blockchain.

Another company that has recently joined is Kodin Soft, which develops high tech software solution. The company is working on several projects including TELESCOPELIVE which empowers astrophotography and remote imaging allowing space enthusiasts to experience the night sky like never before.

Even Avail, a Blockchain project spun off of Polygon in 2023 aiming to handle data storage and verification for blockchains, which launched the data attestation bridge test net to secure data off-chain has joined. The bridge connected to Ethereum, and can be used by both zero-knowledge and optimistic rollups that use Ethereum as a base layer.

Avail aims to be a solution for layer 2s and 3s to publish data off-chain, to reduce the high transaction fees that often come from posting data on the main Ethereum blockchain.

Other companies joining include HoloFair, a metaverse platform. HoloFair facilitates seamless integration of gamification, e-commerce, and interactive elements, ensuring an immersive and data-rich metaverse experience.

Even AI startup Zarqa, incubated by SingularityNET, and specializing in Neural Symbolic Large Language Models (#LLMs) has come on board.. Leveraging engineering expertise, Zarqa pioneers the next generation of LLMs with scaled neural-symbolic AI, reflecting technical innovation and steadfast leadership.

CyberNet AI also joined the Dubai AI & Web3 Campus. Cybernet pioneers virtual voice robot services through a seamless SaaS model, featuring AIDOS, an Artificial Intelligence Dialog Operating System. Offering versatile applications in debt collection, NPS surveys, and telemarketing, Cybernet’s solution boasts an impressive 82% collection efficiency while reducing operational costs by 1.5 times.

Then there are the incubators and investors that have joined the AI Web3 campus at DIFC Innovation Hub. Metafour Labs has come in dedicated to elevating early-stage tech ventures specializing in blockchain, and Web3. The company provides strategic advisory services for successful launches and scaling.

Ibtikar a business consultancy firm for Web3 joined. While DIFC Innovation Hub and AI Web3 campus partnered with Middle East Venture Partners (MEVP), MENA venture capital firm dedicated to supporting innovative tech companies in the Middle East.

In addition to those mentioned above many other entities have joined the Web3 AI Campus as DIFC issues commercial licenses at 90% subsidies.  DIFC aims towards having a vibrant ecosystem of DLT, AI, and Web3 entities.

According to DIFC, “The initiative aims to propel Dubai’s journey towards becoming a digital society, fostering collaboration, innovation, and global talent attraction.”

The AI and Web 3.0 Campus aspires to become the MENA region’s largest hub for AI and Web3 companies. With a goal of hosting over 500 high-tech companies by 2028, it envisions bringing in $300 million in funds and creating over 3,000 jobs within five years.

Mohammad Alblooshi, CEO of the DIFC Innovation Hub , states that these licenses will elevate Dubai’s position as a preferred destination for tech-focused companies, driving world-class talent and diversified investments to the region.

Maybe this is why South Korean game developer, Wemade, and UAE DIFC Innovation Hub partnered to build WEMIX Play web3 gaming community to support Dubai Program for Gaming 2033.

Dubai virtual asset regulator grants initial approval to B2B Prime

Dubai virtual asset regulator grants initial approval to B2B Prime

It seems like almost every week or so new virtual asset service providers are seeking licenses in Dubai UAE. The latest already regulated in Cyprus and Mauritius, is B2 Prime Group. Its MENA entity, B2B Prime Digital MEA has been granted initial approval for a crypto broker, crypto exchange, payment and transfer license from VARA (Dubai Virtual asset regulatory Authority).

As per the press release, licensing remains subject to fulfillment of pre-operating conditions and qualifying for operational approval by VARA.

This milestone signifies the granting of Initial approvals from VARA for licenses covering activities of “Virtual Asset Exchange Services,” “Virtual Asset Broker Dealer Services,” and “Virtual Asset Transfer and Settlement Services”.

Eugenia Mykuliak, Founder of B2Prime, expressed her gratitude for this achievement, stating, “We are excited to contribute to the growth of Dubai’s ever growing Virtual assets ecosystem.”

Arthur Azizov, Co-Founder of B2B Prime Digital MENA added, “We are extremely proud and grateful to have received initial approval from VARA, which is a testament to our determination to maintain the highest standards in regulatory compliance.”We’ve built a powerful ecosystem that not only meets but exceeds the industry’s standards, guaranteeing a safe and efficient gateway to virtual assets for users. We are ready to move forward in the licensing process in our bid to offer secure and streamlined access to virtual assets, strictly adhering to VARA’s guidelines.”

“The receipt of the Initial Approval for all three licenses, particularly the Transfer and Settlement License, was eagerly awaited and has brought immense joy to our entire team. This achievement has undoubtedly inspired us to pour our absolute best towards securing the Virtual Asset Service Provider license”, stated Adriana Paredes Herrera, CEO of B2B Prime Digital MENA.

B2Prime Group, a Prime of Prime Multi-Asset Liquidity Provider, serves institutional and professional clients globally and offers compliant, reliable expertise across Forex, Crypto CFDs, and other markets.

MintLayer to tokenize realestate assets in UAE

MintLayer to tokenize realestate assets in UAE

UAE based MintLayer, a layer 2 blockchain that utilizes Dynamic Slot Allocation (DSA) consensus merging Proof-Of-Stake and Bitcoin technologies to make decentralized financial markets attack-proof,  will be launching its mainnet on January 29th 2024 and is planning tokenize real-estate assets starting from Dubai UAE.

Already MintLayer has received investments from a substantial number of venture capitalists including some residing in the UAE such as Phoenix crypto VC, Sheesha Finance, Varys Capital and others.

Zaid Ismail Chief Operations officer at MintLayer, based out of Dubai UAE, on LinkedIn states,“ 90% of the world’s millionaires made their fortunes through real estate, but it’s highly inaccessible, illiquid, and complicated – that’s where MintLayer comes in! Starting with Dubai, we are on a mission to fractionalize real estate ownership one country at a time.”

In an interview on Bitcoin News, he discussed how tokenized real-world assets are an appealing portfolio for modern investors.

He told Bitcoin News that despite recently garnering much of the world’s attention, traditional exchange-traded funds (ETFs), including spot Bitcoin ETFs, are still inferior to tokenized real-world assets (RWA).

He added,” Tokenized RWAs also come with increased transparency, reduced costs, and direct ownership making them a more versatile and appealing choice for modern investors seeking portfolio diversification.”

He notes in the interview that traditional finance institutions are also starting to get involved in tokenized RWAs. They are testing the waters and will need to work with regulators to adapt existing regulations to the changing landscape.

Ismail emphasizes that with MintLayer the process is simplified, reducing hassles for asset owners. With MintLayer, tokenization is embedded and simple, so non-technical users can issue tokens easily without having to use deployment contracts like on Ethereum.

Additionally, Mintlayer Institutional is building a SaaS platform for institutional clients that will help to simplify the process of issuing, monitoring and dealing with all the compliance aspects required for tokenization.

The MintLayer network, and its UTXO infrastructure, allows batching multiple transactions into a single one, saving space and lowering the fees. Furthermore, their HTLC smart contract embedded in MintLayer will allow atomic swaps and lightning network integration, allowing a way to route transactions on a peer-to-peer network that doesn’t require it to be permanently saved forever on the blockchain.

Mintlayer has a  low node requirements are pivotal in fostering a more inclusive and decentralized network allowing anyone with a standard PC, or even a Raspberry Pi, can run a node is a testament to the democratization of blockchain technology.

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.