Crypto mining firm Phoenix Group sells 10% of its shares to Abu Dhabi IHC

Crypto mining firm Phoenix Group sells 10% of its shares to Abu Dhabi IHC

UAE based Phoenix Group has sold 10% of its company shares to Abu Dhabi conglomerate International Holding Company’s subsidiary.

IHC’s wholly owned unit, International Tech Group, has entered into a definitive agreement to buy 10% stake in Phoenix Group, according to a disclosure on the Abu Dhabi Securities Exchange (ADX).

The company is currently completing all required procedures and obtaining regulatory approvals to complete the transaction, the disclosure noted.

This announcement comes at the heels of an agreement between Muscat-based Green Data City and Phoenix Group to develop a $300 million crypto-mining farm in Oman. The 150-megawatt farm, which will be one of the largest crypto-mining data centers in the region, will be installed in Green Data City, the entities said in a joint statement. The farm is expected to be fully operational by the second quarter of next year.

Pheonix Group had announced on several occasions that it was seeking to have an IPO ( Initial Public Offering). With the 10% acquisition by IHC this could well put the IPO on hold.

Phoenix provides crypto-mining equipment distribution and hosting services. The company has a portfolio of mining facilities in the Middle East, Europe, the US, and Canada.

In the first half (H1) of 2023, IHC  generated net profits valued at AED 10.39 billion, up from AED 10.35 billion during the same period a year earlier.

This is a reflection of Abu Dhabi’s government interest in crypto mining. Prior to this Marathon Digital a digital asset mining entity announced in January 27th 2022, that it had entered into a shareholder’s agreement with FSI ( FS Innovation), the BTC mining subsidiary of UAE ADQ a sovereign fund,  to form an Abu Dhabi, ( ADGM (Abu Dhabi Global Markets) based company.

Marathong Digital will use fossil fule offset or nuclear to power bitcoin mining operation.

BITMAIN enters MENA through collaboration with Oman’s Exahertz and MoonWalk Systems

BITMAIN enters MENA through collaboration with Oman’s Exahertz and MoonWalk Systems

BITMAIN, crypto mining leading ASIC manufacturer enters MENA through a collaboration with Oman’s Blockchain Data center and technology park Exahertz and MoonWalk. This collaboration marks a significant leap forward as Exahertz takes on the role of hosting upwards of 10,000 state-of-the-art BITMAIN machines in the pioneering Exahertz Technology Park, nestled in Salalah, Oman. According to the press release, “This isn’t just any partnership, it’s BITMAIN‘s first-ever hosting venture in the Middle East and a groundbreaking initiative for hydro computers worldwide.

The Exahertz Technology Park, standing tall as the Middle East’s largest private Blockchain Data center, underscores Exahertz’ unwavering commitment to innovation and progress.” Exahertz International, recently kicked off a pilot phase of Exahertz Technology Park in Salalah. In collaboration with their strategic partners Moonwalk Systems, they rigorously testing and optimizing the hydro systems to ensure peak performance in local conditions and challenges. An impressive highlight by Exahertz Team involves using treated grey water to efficiently cool down the data center computers.

This innovative approach maximizes efficiency while staying environmentally responsible. The treated grey water, after being thoroughly cleaned, is returned to the earth responsibly, reflecting the commitment to eco-friendly practices. Jad Fredrick Kharma, CEO of Exahertz, articulate his vision, affirming, “Our mission transcends the introduction and adoption of cutting-edge technology; we are unwavering in our commitment to elevate Oman’s proficiency and prominence within the domains of modular IT infrastructure, the innovative design of hyper-scale data centers, and the cutting-edge landscape of high-performance blockchain technology.

In Sam Ferdows’ words, the CEO of Moonwalk Systems, “We’re excited about this partnership with BITMAIN and look forward to being a key partner for them in the region. Our goal is for Exahertz Technology Park to be the benchmark for all blockchain data centers in the region and the world for hydro solutions.” BITMAIN‘s Director is equally enthusiastic about this strategic partnership. He emphasizes, “This collaboration allows BITMAIN to have a stronger presence in the region, utilizing our advanced technology.”

 

Oman Central Bank reviews stance on crypto in its 3rd meeting for 2023

Oman Central Bank reviews stance on crypto in its 3rd meeting for 2023

In a news piece on Oman News agency, the Board of governors of the Central Bank of Oman, held their third meeting for 2023 where the followed up on developments as well as reviewed the international stance on cryptocurrencies as well as related studies conducted by the executive management team at the central bank on cryptocurrencies.

This comes as Oman works on its virtual asset regulations, having  at the end of July 2023 announced a public consultation paper on virtual assets regulatory framework by the Oman Capital Market Auhtority.The Capital Market Authority, Sultanate of Oman (CMA), which regulates and develops Oman’s financial markets for the capital market and insurance sectors, had earlier announced its plans to establish the new regulatory framework for Virtual Assets (VA) and Virtual Asset Service Providers (VASP).The proposed new regulatory framework is envisaged to cover activities such as crypto assets, tokens, crypto exchanges, and initial coin offerings, among others. CMA had invited relevant stakeholders to provide their views and comments no later than mid August 2023.Oman has also been at the forefront of crypto mining in the region and in August 2023 announced the first phase of Asyad Group crypto mining center was launched in the Free zone in Salalah. Built and managed by Exahertz, a subsidiary of Afaq Advance Technologies firm, the first phase was inaguarated during a ceremony attended by top Omani governmental officials. Later on in the same month Oman-headquartered Green Data City and Abu Dhabi’s Phoenix Group have signed an agreement to develop a 150MW crypto-mining farm in Oman. The new farm will be set up in Green Data City and should be fully operational by Q2 2024, becoming one of the largest crypto-mining data centres in the region.Even in June 2023 the Oma Capital Markets Authority published a decision with regards Instructions for registering virtual asset service providers and applying AML/CFT requirements.So it would seem that while the Central Bank of Oman is reviewing cryptocurrencies both from a local and international perspective, the country is moving forward with its crypto and virtual assets plans.

Oman inaugurates first crypto mining data center in Salalah worth $348 million

Oman inaugurates first crypto mining data center in Salalah worth $348 million

As part of the strategy to build  crypto mining datacentres in Oman, the first phase of Asyad Group crypto mining center was launched in the Free zone in Salalah.

Built and managed by Exahertz, a subsidiary of Afaq Advance Technologies firm, the first phase was inaguarated during a ceremony attended by top Omani governmental officials. The ceremony was held under the auspices of Eng. Said Hamoud Al Ma’awali, Minister of Transport, Communications and Information Technology. It was attended by HH Sayyid Marwan Turki Al Said, Governor of Dhofar.

The ceremony included the inauguration of a pilot facility for the first phase of the project on the centre for data processing and hosting of cryptocurrency mining.

During the event the second phase of the project was also launched.

Al Ma’awali stated, “The inauguration of the first phase of the project reflects the ministry’s keenness on promoting digital investment and localizing advanced technologies. He added that the company in charge of the project is expected to achieve a quarter of envisaged volume of production before the end of 2023.

Dr. Ali Mohammed Tabook, CEO of Salalah Free Zone, underscored the significance of laying down the foundation stone for the Exahertz Blockchain Data Centre at an investment value of $348 million on an area of 312,000 square metres.

According to Sam Ferdos, CEO of Moonwalk Systems and Strategic Partner of Exahertz International, a wider network of blockchain-based data centres in planned in the Sultanate of Oman, starting with a pilot in Salalah.


Ferdos stated to Observer media, “The pilot is already online with 11 megawatts of power and over 2,000 machines. By October, capacity will be ramped up to have up to 15,000 machines online, with development fast-tracked to cover three locations in Salalah and one in Al Jabal Al Akhdar in Al Dakhiliyah Governorate.”

Prior to this announcement, Oman Ministry of Transport, Communications, and IT in partnership with Green Data City (GDC) the next generation data blockchain ecosystem, launched the first licensed sustainable crypto mining datacenter in Oman, and the GCC.  The delegation witnessed the first Bitcoin officially mined in Oman using immersive cooling technology which will reduce electricity consumption.

Under this license, industrial mining companies can now register directly with GDC Mining and operate within the development.

In addition Oman Investment Authority (OIA) took part in a $350mn equity round in Crusoe Energy Systems. The US firm helps oil and gas producers cut flaring by using stranded natural gas to power cryptocurrency mining. Crusoe systems set up operations in Oman as well.

Oman Easy Coins becomes first registered VASP entity with Capital Markets Authority

Oman Easy Coins becomes first registered VASP entity with Capital Markets Authority

While the Oman Capital Markets Authority awaits feedback for its virtual assets framework consultation paper, it has approved registry of Oman’s Easy Coins, a non custodial crypto provider, as the first VASP in the country.

Easy Coins has been operating in Oman for over two years. In December 2022 Easy Coins launched its trial of Tether USDT on the Tron Blockchain. Accordingly Easy Coin users in Oman could purchase TRC20 USDT.

Prior to that The Oman Water and Waste Water Services Company ( OWWSC), member of Nama Group, trialed its stablecoin linked to the Oman Riyal. The company signed an MOU with Oman based Digital Digits, the creators of Easy coins and Connected Chains to trial “ Hasalah” a stablecoin Wallet.

Easy Coins was launched in Oman in June 2021, as a non custodial crypto Brokerage platform, The platform is powered by Quantoz Blockchain Technology for financial services, and running on Nexus from connectedChains and supported by ThawaniPay.

Given that Easy Coins was already self regulating and adhering to CMA’s FATF KYC nad AML requirements, they were considered the first to be registered as a VASP seeking full license in Oman.

Dr. Khalid M.W. Tahhan, Co-Founder, Easy Coins ME stated, “We at Easy Coins believe that innovation from society will always be ahead of any regulator in any industry and nation. Thats why for vision 2040’s primary innovation pillar to be properly realized, it is essential that innovation from society should not be slowed down or hindered till regulators catch up, but rather it is essential for innovators to innovate and regulators to catch up with them rapidly. We commend the capital markets for their rapid response and acclimatization towards innovations in virtual assets and believe with such adaptable regulators, this industry will have a healthy place in Oman to flourish.”

Speaking to LaraontheBlock Tahhan explained, ” Registration is stage one which means we were cleared for KYC, AML, CDD requirements, full licensing is the next stage and will happen next year. Today we are allowed to operate because our risk measures are covered.” 

HH Sayyid Azzan Bin Qais Al Said Co-Founder of Easy Coins added “ Easy Coins has been in operations for two years and has been self regulating its operations since its launch. Hence when CMA initiated its registration process for Virtual Asset Service Providers, we were able to instantly meet CMA’s and FATF’s KYC/AML requirements.“

Highest salaries for Blockchain developers are in KSA, followed by Oman, Bahrain and Qatar

Highest salaries for Blockchain developers are in KSA, followed by Oman, Bahrain and Qatar


The Blockchain related job market in the GCC MENA region is growing, and salaries differ between varying GCC countries depending on need, and availability.

According to Salary Explorer 2023 reports, the average blockchain developer salary in the UAE per month is $3348 ( 12,300 AED), in Oman $3922 (1,510 OMR), in KSA $3945 (14,800 SAR), in Qatar $3597 (13,100 QAR), in Bahrain $3630  ( 1,370 BHD), while in Egypt and Morocco the average salary is $266 ( 8,230 EGP), and $1810 ( 17,500 MAD).

Interestingly others have noted that the average crypto salary per month in Dubai is $6582. As per their report salary estimates are based on anonymous submissions by cryptos, website users collected in Dubai from past and present job posts.

Concurringly a number of entities in the UAE are requesting job positions. One example is Crypto.com that is hiring a Web3 senior regulatory reporting analyst, in Dubai.

Recently as wel the Commercial Bank of Dubai was searching for Head of CBDC digital technology with yearly salary of $350,000.

Emagine Solutions FZE in Abu Dhabi was also requesting a job as it has been retained on a CBDC project within the UAE. The candidate could have experience as Head of Digital Banking, Head of Technology, EVP or SVP level.

As per the job description, the candidate will  work within a specialist business unit focused on developing the the Central Bank Digital Currency (CBDC) which will be responsible for analysing the opportunities and challenges presented by CBDC and developing the design of a CBDC. The candidate will be expected to offer input to and be the principal source of technological advice on other forms of digital assets (e.g., stablecoin). The monthly salary range is set anywhere between $30,000- $50,0000.

These job postings for blockchain, CBDC, and other crypto related opportunities are increasing in the region. Prior to this, there were requests for blockchain developers in UAE, for example at FuCoin, Swisstronic, Deriv, Storm2, as well as digital assets custody professional for Binance UAE.

A CoinJournal crypto job research published in November 2022 stated that the UAE has 137 crypto career listings or 14.51 jobs per one million people, which is the ninth highest globally, the research showed. There are more crypto-related jobs in the UAE than in other markets like Australia, Canada, France or Germany

The growth of the blockchain and crypto ecosystem in the region is pushing the growth of jobs in the field. We should see more of these postings in the future especially in KSA, Oman, and Qatar, as well as the UAE.

Oman takes the last step towards developing its virtual assets regulatory framework

Oman takes the last step towards developing its virtual assets regulatory framework

At the end of July 2023, the Oman Capital Market Authority issued a Public Consultation Paper on its Virtual Assets Regulatory Framework.

The Capital Market Authority, Sultanate of Oman (CMA), which regulates and develops Oman’s financial markets for the capital market and insurance sectors, had earlier announced its plans to establish the new regulatory framework for Virtual Assets (VA) and Virtual Asset Service Providers (VASP).

As per the Oman Capital Market Authority announcement, the entity is currently in the process of drafting the comprehensive and facilitative regulatory framework, which will include a new regulation to cover all virtual assets activities, a licensing framework for all VASP categories and a supervisory framework to identify, assess, and mitigate ongoing risks. This is being done after the CMA had made an extensive global analysis and benchmarking with other jurisdictions.

The proposed new regulatory framework is envisaged to cover activities such as crypto assets, tokens, crypto exchanges, and initial coin offerings, among others.

The CMA has invited public and all relevant stakeholders, VASPs, financial institutions, academics, legal firms, consumer groups and other businesses that may be impacted by the VA and VASP frameworks, to provide their views and comments to the public consultation paper. The public consultation paper may be downloaded from the CMA’s website at www.cma.gov.om.

Responses are required within three weeks or before August 17th 2023. Responses to the public consultation paper can be made electronically via email to: kemal.rizadi@cma.gov.om.

In February 2023, Oman CMA announced its plans to develop a regulatory framework for virtual asets and VASPs. To assist in the development of a comprehensive regulatory framework for virtual assets in Oman, the CMA engaged the services of XReg Consulting Limited, an international policy and regulatory consultancy that specializes in virtual assets, and Said Al-Shahry and Partners, Advocates & Legal Consultants (SASLO), an Omani law firm.

Blockchain report shows that Blockchain will boost GDP by $2.1 trillion in growth markets including MENA

Blockchain report shows that Blockchain will boost GDP by $2.1 trillion in growth markets including MENA

A new report entitled, “Disrupt and Innovate: Harness the power of blockchain” published by Singapore Agile Dynamics, a research based consultancy services, blockchain technology will boost global gross domestic product (GDP) by US$2.1 trillion of the projected global GDP in 2030. Approximately half (49%) of the US$2.1 trillion will come from growth markets. This is especially important finding given the growth of blockchain implementation in the GCC and MENA region.

Countries such as Qatar, KSA, UAE, and even Oman are building their capacities and use cases utilizing emergent technologies such as blockchain, AI, IoT and others, and their GDPs will be positively affected.

As per the report as well, customized layer 1 blockchain protocol offers potential benefits such as increased financial inclusion, reduced transaction costs, and improved transparency – all of which align with the concept of technology sovereignty. It empowers entities to have ownership and control of their data, while safeguarding their sovereignty, reducing dependence on external entities, being more competitive on the global stage, and both encouraging and supporting domestic technology companies.

The report also noted that as per the study, 73% of respondents consider that a reduction in operational costs will be one of the main advantages of blockchain technology. This is followed closely by 67% of respondents believing that a key advantage of blockchain will be improving speed and efficiency. Other advantages noted include improving security and privacy (55%), bringing innovation (50%), and financial processes (44%).

Agile Dynamics explores what the future of blockchain technology could look like, including next generation technology characteristics. The report maps out three stages of the blockchain technology maturity journey, which it names as Emerging Blockchain Technology, Next-Gen Blockchain, and Fourth Generation Chain. In the latter, a permissionless, decentralized, scalable blockchain protocol will be achieved. It will be focused on interoperability challenges, designed to provide the fastest and most efficient cross-chain interoperability, speed, scalability, and security. It will also integrate micro-validation and tokenization, amongst numerous other benefits.

Speaking on the report and its contents, Paul Lalovich, Managing Partner at Agile Dynamics, said: “The world of blockchain is evolving rapidly, and is becoming an increasingly vital component of our ultra-connected world. Our report demonstrates how blockchain could be the most effective solution to begin a technology sovereignty journey, thanks to its ability to support the concept through providing decentralisation, data ownership and privacy, open source principles, trust and security, interoperability and more. By leveraging blockchain, you have the ability for more control and autonomy over your technology infrastructure and systems. This reduces dependence on external entities, and helps to safeguard your sovereignty. Blockchain is also a distinct and cost-effect means to stimulate innovation and foster growth, particularly in an economic context, and it has been demonstrated to be more cost-effective than any other technology for building out a project with the highest forecasted compound annual growth rate through to 2030.”

Lalovich continued: “Agile Dynamics is committed to helping organizations to harness the power of technology, to achieve digital transformation and to create differentiation by applying technology in a practical business context. We use deep insights derived from data, as demonstrated in ‘Disrupt and Innovate: Harness the Power of Blockchain’, in combination with extensive experience across industries and applications to help our clients realize business opportunities for growth.”

Oman’s Green Data City to have full blockchain capacity in 2023

Oman’s Green Data City to have full blockchain capacity in 2023

Oman’s Green Data City, the first data center in Oman to obtain a crypto mining license will have full blockchain capacity in 2023. The datacenter which is nestled in Salalah region of Oman, harnesses its coastal location to utilize renewable energy sources.

As per a report in Oxford Business group, the project is set to receive more than $3.2 billion as part of Vision 2040 and is expected to reach full blockchain capacity in 2023.

The MTCIT announced in December 2022 that it secured OR150m ($390m) in investment from a consortium of local and foreign financiers to develop a large-scale data center at Green Data City. The investment is earmarked for the processing and hosting data; and the adoption of distributed ledger technologies, blockchain and financial technology.

In an interview with Said Abdullah Al Mandhari ,CEO of Oman ICT Group, he noted that advanced technologies and blockchain, in particular, have enormous potential to enhance Oman’s long-term economic development, especially considering the current business environment.

He added, “Artificial intelligence (AI), big-data analytics, blockchain and the internet of things (IoT) can boost efficiency and productivity in various sectors, such as finance, education, health care and logistics. It will be important for the energy sector in particular to adopt advanced technologies to increase productivity and align with long-term sustainability standards.”

For his part, Blockchain could be used to provide platforms that manage digital assets and conduct transactions while reducing fraud risks, increasing transparency and streamlining related operational processes. Blockchain would also be able to expand inclusion in the financial ecosystem, as it enables crowdfunding and peer-to-peer lending for small- and medium-sized enterprises.

The report reiterates that the Oman regulator has announced the development of a regulatory framework for virtual assets and virtual asset service providers. This will help underpin the development of the digital asset and financial technology industry in the sultanate.

By regulating virtual assets, the Capital Market Authority aims to provide an alternative financing and investment platform for issuers and investors alike, while mitigating the risks associated with this asset class. The framework will cover activities such as crypto-assets, tokens, crypto-exchanges and initial coin offerings, among others.

Oman Crowd Funding platform to develop secondary token market after receiving license

Oman Crowd Funding platform to develop secondary token market after receiving license

Oman based Mamun to develop secondary token crowd funding market after receiving license from Oman Capital Market Authority

Oman based Mamun, has been awarded a full crowd funding license by Oman’s Capital Market Authority, with plans to offer a crowd funding token based secondary market utilizing its recent partnership with Fasset token exchange platform.

The recent license is also a pre-approval for a PSP (Payment Service Provider) license by the Central Bank of Oman. As a fintech infrastructure-as-a-service provider, Mamun offers a proprietary technology platform that empowers telecommunication companies, banks, and large startups with the tools and capabilities necessary to roll out fintech services and products, including popular solutions like Foodics.

Excitingly, Mamun has recently announced a strategic partnership with Fasset, a renowned innovator in the field. This collaboration aims to co-create advanced products that further enhance Mamun’s holistic approach to fintech services. By combining their respective strengths and expertise, Mamun and Fasset strive to drive innovation, accessibility, and convenience in the financial industry.

“We are thrilled to have been granted the full crowdfunding license by the Capital Market Authority and the pre-approval for the PSP license from the Central Bank of Oman,” said Mohammed Al Tamami, Co-Founder  and Chief Commercial Officer at Mamun. “These licenses are a testament to our commitment to delivering state-of-the-art fintech infrastructure and comprehensive solutions. We are excited to expand our offerings and partner with industry leaders like Fasset to shape the future of finance.”

The global Tokenization Market size to grow from USD 2.3 billion in 2021 to USD 5.6 billion by 2026, at a Compound Annual Growth Rate (CAGR) of 19.0% during the forecast period, according to a new report by MarketsandMarkets published in May 2023.