Digital asset custodian, Zodia Custody interested in expanding to UAE and Qatar

Digital asset custodian, Zodia Custody interested in expanding to UAE and Qatar

Zodia Custody, backed by Standard Chartered Bank has shown interest in offering its services not only in the UAE but in Qatar as well.

Recently, Gerry Afentakis, Head of Europe & MENA Sales at Zodia Custody visited the Qatar Development Bank along with members from the Qatar Financial Authority.

Hani Khateeb, Fintech Specialist Advisor of Qatar Fintech Hub at the Qatar Development Bank noted on LinkedIn, “Today, we had the pleasure of hosting Zodia Custody and Qatar Financial Centre (QFC) Authority at Qatar Development Bank offices. We were joined by Gerry Afentakis from Zodia, who shared their latest achievements, milestones, and provided valuable insights into their role in the institutional digital asset custodianship market globally.”

He added, “It was especially impressive to learn about their shareholder and list of banking customer in both the MENA region and internationally. During our discussions, we explored potential collaborations in the exciting world of digital assets here in Qatar aligning with existing frameworks and future plans for paving the way for this new technology to flourish within Qatar’s financial sector.”

The visit of Zodia Custody’s Head of Europe and MENA Sales executive, comes after Qatar launched its digital assets framework, and DLT framework. Qatar’s digital assets regulation allows for the tokenization of real-world asset, excluding cryptocurrencies and stablecoins.

The Qatar Digital Assets Lab was also created to develop tokenization platforms for tangible and intangible assets including real estate assets, securities, Sukuk, bonds and others in the future utilizing DLT (distributed ledger technologies), blockchain, and smart contracts.

Moreover, the framework also allows for tokens and token custodians, exchanges, transfer providers and validators, as well as token issuers.

As per the framework, “Token custody services mean holding or controlling tokens on behalf of clients; or holding or controlling the means by which clients’ tokens may be recorded and transacted on token infrastructure. A company that holds or safeguards the private keys for its clients’ tokens is providing custody services in relation to those tokens. An entity licensed to provide token custody services may be referred to as a token custodian.”

This could be why Zodia Custody is now interested in visiting QFC after it started its journey in the UAE. Replying to Khateeb, Afentakis stated on LinkedIn, “Thank you, Qatar Development Bank, and your exceptional colleagues (Mayssa Mrabet & Kevin) for the wonderfully warm Qatari hospitality and for such an astute and fruitful discussion. So much to look forward to.”

Replying to Lara on the Block, Afentakis in a message noted, “We are very much exploring Qatar, and will be setting up in UAE in both VARA and ADGM in Q1 of 2025.”

In 2023, Standard Chartered’s backed digital asset platform, Zodia markets, received an In-Principal Approval (IPA) fulfilling the pre-requisites to receive a Financial Services Permission (FSP) for OTC broker-dealer in virtual assets by Abu Dhabi Global Market (ADGM), Abu Dhabi’s international financial center.

Zodia Markets chose to expand into the UAE as the region establishes itself as a rapidly emerging hub for digital assets. The strategic expansion provides institutional investors from the Middle East and Africa with reliable access to this growing, alternative asset class, consolidating Zodia Markets’ position as an integral part of the global digital asset landscape.

In an article on Zodia Custody website they note that with all the growth being witnessed in UAE and GCC region in terms of blockchain and digital assets businesses, the banking sector has sometimes been tentative in embracing the crypto industry. The article states, “With crypto firms situated there reporting that they still struggle to access banking services. This hurdle is now starting to be removed as some players are beginning to offer digital asset-friendly services. Major financial institutions are also requesting proposals and seeking providers for virtual asset services.”

This is why a year ago, UAE based Standard Chartered signed a memorandum of understanding (MoU) with Dubai International Financial Centre (DIFC) to collaborate on digital assets, including digital asset custody through its Zodia Custody entity. At the time Standard Chartered noted that its new services would be powered by its subsidiary Zodia Custody.

In 2024, Brevan Howard became the first client for Standard Chartered regulated crypto custody service out of DIFC. DIFC (Dubai International Financial center) regulator DFSA.

UAE M2 crypto exchange engages Haruko for treasury risk management

UAE M2 crypto exchange engages Haruko for treasury risk management

UAE homegrown M2, cryptocurrency exchange and custodian has engaged Haruko, an institutional-grade infrastructure solution created for companies deploying capital across the digital asset ecosystem to provide M2’s treasury trading team with the tremendous insight required for effective treasury management, compliance, investor reporting and financial control functions.

Haruko provides the most comprehensive digital asset infrastructure solution for institutions deploying capital across the digital asset ecosystem. Seamless consolidation of positions across exchanges, on-chain and OTC activity with access to real-time and historical pricing, risk and P&L reporting provides the transparency needed for effective treasury management, compliance, investor reporting and financial controllership functions.

M2’s Managing Director of Treasury Kim Wong said, “With Haruko, we can efficiently manage M2’s treasury portfolio and risk in real time. Haruko’s advanced tools empower our team to seamlessly track asset flows, conduct scenario analyses, and closely monitor counterparty credit as well as other market exposures, enabling proactive risk management.”

“These capabilities allow us to identify and mitigate risks across our digital asset portfolio, safeguarding against potential downside impacts. This is a critical enhancement to our strategies and operations, particularly during periods of heightened market volatility.”

“As risk management continues to become a critical workflow in the digital asset space, Haruko continues to deliver an exceptional institutional-grade solution which enables digital asset managers to view their risk in a combined and transparent way,” said Shamyl Malik, Chief Executive Officer and Co-Founder of Haruko.

He added, “We are delighted to be working with M2 to provide our comprehensive suite of risk and portfolio management products, significantly improving operational efficiency and streamlining their workflow”.

On October 31st, UAE crypto exchange M2, underwent a cybersecurity breach involving $13.7 million but was able to quickly address the incident within 16 minutes. M2 announced that it fully resolved the issue, restoring all customer funds and taking responsibility for any potential losses. M2 on its website stated, “We would like to report that the situation has been fully resolved and customer funds have been restored. M2 has taken full responsibility for any potential losses, demonstrating our unwavering commitment to safeguarding our customers’ interests. All services are now fully operational with additional controls in place.”

BlackRock sets up in Abu Dhabi UAE as it plans regulatory approval from ADGM

BlackRock sets up in Abu Dhabi UAE as it plans regulatory approval from ADGM

The global fund manager BlackRock, which has a Bitcoin ETF, known as IBIT where in just 211 days since its launch has amassed $40 billion in assets, has received a commercial license in Abu Dhabi as it seeks regulatory approval to operate from the Abu Dhabi Global Market ( ADGM).

In a statement to Bloomberg, BlackRock stated, “Building on the long-standing relationships BlackRock has built with clients in Abu Dhabi and across the region over more than 20 years, the new office reflects BlackRock’s continued commitment to the UAE, and its dedication to fostering strong relationships with clients and partners in the country.”

The US headquartered company has assets under management of $11 trillion plus. Earlier in the year, BlackRock appointed Mohammad AlFahim as Head of the UAE. Ben Powell relocated to the region to serve clients as BlackRock Investment Institute’s first Chief Middle East & APAC Investment Strategist.

“Our presence in ADGM will enable us to better serve our clients around the world on whose behalf we engage with sovereigns, wealth managers and specialist investment vehicles based in Abu Dhabi, operating in sectors such as infrastructure, renewable energy, and technology,” said Charles Hatami, Head of Middle East and Global Head of the Financial & Strategic Investors Group, BlackRock. 

BlackRock’s growing focus on this region saw CEO Larry Fink as one of the headline speakers at Riyadh’s Future Investment Initiative (FII) forum last month, where he spoke about the largest macro trend in the world today is the amount of capital needed to digitize and decarbonise and rebuild infrastructure, amounting to trillions of dollars.

In May, BlackRock Inc. also revealed plans to set up a new investment platform in Saudi, backed by up to $5 billion from the country’s sovereign wealth fund the Public Investment Fund (PIF).

BlackRock’s strategic positioning and the increasing acceptance of Bitcoin as a viable investment option have contributed significantly to this success. The ETF’s performance highlights the potential for digital assets to become a mainstream component of investment portfolios.

DMCC Future of trade report calls for incorporating Blockchain and AI in Gold trade

DMCC Future of trade report calls for incorporating Blockchain and AI in Gold trade

UAE based DMCC,an international business district that drives the flow of global trade through Dubai, in its special edition of its Future of Trade thought leadership report called for the incorporation of AI and Blockchain in the trade of precious metals.

The report predicts the rise of an “Asian Century” for gold, with a particular focus on the development of a new gold economic corridor among BRICS nations, including the UAE, that can provide an alternative to traditional gold trade centers.

DMCC’s findings forecast the UAE becoming one of the most important hubs for the gold trade in coming years. This position was significantly bolstered by the UAE leapfrogging the United Kingdom in 2023 to become the second-largest gold trade hub worldwide, with over USD 129 billion in total trade – a rise of 36 per cent on the past year.

Ahmed Bin Sulayem, Executive Chairman and Chief Executive Officer, DMCC, said, “In recent years, we have witnessed historic shifts in the precious metals market, driven by Western sanctions that have forced record buying of gold by central banks and a rethink by many countries when it comes to their reliance on the US dollar. We are seeing a new gold corridor form across Asia, with Dubai at its centre – exemplified by the UAE’s rise to become the world’s second-largest gold trading hub last year. Our latest Future of Trade report underscores Dubai’s pivotal role in this transformation, as we strengthen its position as the world’s leading precious metals hub, attract key industry players and support our members to unlock new growth opportunities.”

Feryal Ahmadi, Chief Operating Officer, DMCC, said: “Our latest Future of Trade report on precious metals is a vital resource for all stakeholders involved in the industry and sets the scene perfectly for the 12th edition of our Dubai Precious Metals Conference. As the report highlights, this is a time of opportunity and challenge, and as the gold industry navigates its place in a rapidly evolving landscape, we look forward to working with our members and partners as we continue to build the world’s premier ecosystem for the global precious metals trade from Dubai.”

The report, titled “Trade, Technology and Markets in Transition,” provides key insights into the current state of the global gold and silver markets. The report highlights that geopolitical challenges including sanctions against Russia have shaken the global financial economy, prompting countries worldwide to reconsider their reliance on the US dollar and the safety of their gold holdings. As a result, central banks worldwide have ramped up their gold purchasing activities and repatriated US-stored bullion to diversify away from the dollar, with some even using gold in lieu of the US dollar in trade transactions. This shift is driving gold prices to unprecedented levels, creating a ripple effect across the global economy.

The report explores the growing importance of technological innovation within the precious metals market. From AI-driven exploration and autonomous mining techniques to blockchain-based tracking systems and digital gold investment products, technology is playing a crucial role in reshaping how gold is sourced, traded and invested in.

The Future of Trade report outlines a number of important recommendations for governments and businesses to help drive the evolution of the industry and shape the next phase of its growth:

The report calls for investing in AI and technology. Miners should invest in AI and advanced technologies to reduce costs, improve production and enhance ESG standards. Leveraging technology can also help artisanal miners eliminate mercury use.

The report also adds that players should boost digital Innovation and Access for Emerging Markets. Investment companies and fintechs should develop digital products that enable small-scale and young investors in emerging markets to access gold trading, expanding market participation.

Finally the report called for establishing Global Standards for Digital and Blockchain Solutions. It noted that industry participants should collaborate to create global standards for digital gold products and blockchain systems to improve transparency, eliminate pricing inconsistencies and reduce reliance on derivative products.

To access the full special edition report by DMCC, please visit: https://www.futureoftrade.com/

UAE to witness tokenization of 10,000 electric motorcycles

UAE to witness tokenization of 10,000 electric motorcycles

UAE based Layer1 blockchain platform for tokenization, MANTRA has partnered with UAE based Pyse, a sustainability-driven RWA platform, to finance the deployment of electric motorcycles for logistics and delivery services across the Emirates. This collaboration will kick off with initial deliveries of the striking pink electric vehicles (EVs) in Dubai as Pyse aims to tokenize more than 10,000 electric motorcycles on the MANTRA Chain by the end of 2025.

Earlier this year, MANTRA selected Pyse as a key member of the MANTRA Incubator program as part of its commitment to fostering innovative solutions in the green technology sector.

“Dubai’s logistics and food delivery sector is on the brink of an electric revolution,” said Kaustubh Padakannaya, Co-founder of Pyse. “Our partnership with MANTRA allows us to tokenize the leasing of electric motorcycles, making them accessible to retail audiences. This initiative celebrates Dubai’s sustainability goals while providing affordable mobility for all the rider heroes.”

Pyse goes beyond traditional models, enabling individuals to offset their carbon footprint and earn returns by investing directly in green assets like electric mobility and renewable energy. The MANTRA pink bike was revealed in October during Binance Blockchain Week in Dubai.

MANTRA CEO & Co-Founder John Patrick Mullin commented, “As the demand for eco-friendly delivery solutions in the region rises, this partnership positions MANTRA Chain and Pyse at the forefront of bringing quality and purposeful RWAs onchain. The deployment of these eye-catching pink EV motorcycles marks a significant step towards achieving Dubai’s ambitious sustainability goals.”

The MANTRA Incubator Program launched in June 2024. Pyse participated in the inaugural cohort alongside two projects in real estate and finance. The incubated projects received support and mentorship to build robust decentralized applications on MANTRA’s infrastructure.

In March 2024, MANTRA Chain raised $11 million led by UAE based Shorooq Partners with investors including Three-point capital, Forte Securities, VirtuZone, Hex Trust and GameFi Ventures. The news which was published in Coindesk stated, that Mantra Chain was in the final stages of receiving licenses from Dubai’s crypto regulator, VARA.

Later in July 2024, UAE based MAG Group Holding a multinational consolidation of different companies and sectors, the group’s portfolio includes real estate, contracting & engineering, industrial & commercial trading, freight services, and hospitality announced it would tokenize $500 million worth of real estate assets with UAE based Mantra a Blockchain Layer 1 RWA ( Real world assets) tokenization platform.

UAE based Shipfinex raises $1.5 million in seed round

UAE based Shipfinex raises $1.5 million in seed round

Shipfinex, which recently received preliminary approval from Dubai’s Virtual Assets Regulatory Authority, has secured $1.5 million in seed funding, led by Mr. Gaurav Mehta, Chairman of Best Oasis Limited and SPM Shipping DMCC.

As per the announcement, this investment signals a strategic partnership set to reshape access to maritime assets through blockchain technology.

Additional investors in the round include Mr. Vivek Seth, Senior Vice President at ADNOC Logistics & Services, and Mr. Yasovardhan Chinni, Founder of Nanlian Ship Management LLC.

Shipfinex aims to democratize maritime finance by enabling fractional ownership of maritime assets through blockchain. The funds will support the company’s growth, regulatory advancements with Dubai’s Virtual Assets Regulatory Authority (VARA), and the development of a secure and compliant marketplace for Maritime Asset Tokens (MATs).

“Shipfinex represents the next era in maritime finance, expanding asset ownership and enhancing transparency and efficiency,” commented Mr. Mehta. “We’re excited to support this transformative journey and redefine how the world invests in maritime assets.”

The collaboration between Shipfinex and Mr. Mehta’s leadership in maritime operations and asset management brings unprecedented synergy. This partnership combines Mr. Mehta’s strategic expertise with Shipfinex’s advanced blockchain capabilities, setting the stage for accelerated growth and innovation.

Vikas Pandey, CEO and Co-Founder of Shipfinex, emphasized, “Mr. Mehta’s support and industry insights are invaluable as we strive to redefine access and expand investment opportunities within maritime finance.”

Prior to this, UAE based ShipFinex, announced a strategic partnership with Tokeny, an onchain finance operating system specializing in tokenized securities.

XDC Blockchain partners with UAE RAK DAO for Web3 accelerator

XDC Blockchain partners with UAE RAK DAO for Web3 accelerator

XDC Network, an enterprise-grade Layer 1 blockchain designed for secure, scalable, and efficient operations that supports trade finance, real-world asset (RWA) tokenization, and decentralized applications for both enterprises and retail users, has announced its partnership with RAK Digital Assets Oasis to launch a Web3 accelerator in the UAE.

As per the X post, “The program offers support for fundraising, integration with XDC #blockchain , token launches, and regulatory guidance boosting early-stage Web3 innovation in the region.”

XDC noted on X, ” We signed an MOU with RAK DAO and launched a partnership for an acceleration program to bring more dApps onto the XDC Network and help companies register within RAK. This collaboration is set to empower the digital economy and support Web3 development in the region.

This announcement comes as XDC also partners with Plug and Play’s global open innovation platform to launch the XDC Payments Program. The program will identify and collaborate with the best payments-based web 3.0 solutions that can enrich the XDC Network.

Prior to that, Tether Operations Limited, creators of USDT digital currency has signed a Memorandum of Understanding (MoU) with RAK Digital Assets Oasis (RAK DAO). As per the press release this is the first step towards the launch of several strategic initiatives to help foster the adoption of Bitcoin technology and stablecoins in Ras Al Khaimah (RAK) UAE.

Furthermore less than a month ago, Dr. Sameer Al Ansari, CEO of RAK DAO, announced the DAO Association Regime (DARe), a legal framework offering DAOs the clarity they need to operate securely within the UAE’s legal environment.

This framework provides two distinct models: the Startup DAO for emerging organizations with fewer than 100 members and the Alpha DAO for more mature entities with treasuries exceeding $1 million.

“With the introduction of DARe, we are proud to lead the way in providing a secure, legally recognized environment for DAOs to thrive,” said Dr. Sameer Al Ansari, CEO of RAK DAO. “This framework underscores the UAE’s commitment to embracing the future of decentralized governance, creating a globally recognized standard for DAO operations.”

Greengage to promote green digital assets sector with e-money solutions

Greengage to promote green digital assets sector with e-money solutions

Hub71 startup, Greengage, a blockchain enabled digital finance pioneer serving entrepreneurs, SMEs, family offices and digital asset firms with e-money solutions and B2B lending, has joined the Abu Dhabi Sustainable Finance Declaration to help promote a sustainable digital assets sector in Abu Dhabi.

Leveraging blockchain technology, the Hub71-based startup aims to drive efficiencies in carbon markets and offer SME clients access to carbon credit opportunities for meeting Scope 3 targets while supporting initiatives that make the industry, particularly bitcoin mining, more energy-efficient through advanced technology and investments in clean energy cryptocurrencies.

As per the release, the company will focus on increasing transparency in digital assets to ensure verifiable sustainable practices, fostering trust, and supporting ESG compliance and sustainable regulation and policy.

Sean Kiernan, CEO of Greengage, commented, “We are proud to join the Abu Dhabi Sustainable Finance Declaration, alongside esteemed signatories like our partners at Zumo. Our commitment to long-term client relationships aligns seamlessly with sustainable business practices, reflecting Greengage’s brand mission to promote ‘green’ growth and environmental responsibility, with a clear focus on sustainability as our core ‘gage’ for collateral.”

Greengage is also dedicated to increasing transparency to ensure that sustainable practices in digital assets are real and verifiable, which will help build trust and ensure ESG compliance. To date, Greengage supports the Blue Carbon Gold project, which tokenizes blue carbon initiatives that capture carbon in coastal ecosystems, such as UAE mangroves, which are high impact assets.

The Abu Dhabi Sustainable Finance Declaration, is a voluntary, membership-based initiative launched by Abu Dhabi Global Market (ADGM) and endorsed by the Ministry of Climate Change and Environment, the Central Bank, and the Securities and Commodities Authority. Over 135 organisations, including Greengage, have signed the declaration, committing to integrate ESG considerations into their business models, products, and investments.

The Global Blockchain Show launches 2nd edition in UAE

The Global Blockchain Show launches 2nd edition in UAE

The Global Blockchain Show has launched its second edition, taking place on December 12 and 13, 2024 at the Grand Hyatt Exhibition Centre, Dubai. Organized by web3 and artificial intelligence consulting giant VAP Group, the two-day show will provide an opportunity to network with the top 1% of the web3 community by bringing together founders, solution providers, experts and enthusiasts from around the world under one roof. 

“The Global Blockchain Show is more than just a one-time event. It is designed to be the ultimate blockchain mixer where attendees will go on a continuous journey through the dynamic world of blockchain technology and unwind with the ‘who’s who’ of the industry,” said Vishal Parmar, Founder and Chief Executive Officer of VAP Group.

Speakers such as:

  • Yat Siu – Co-Founder and Chairman, Animoca Brands
  • Dr. Marwan Alzarouni – CEO/CEO AI, Dubai Blockchain Center/Dubai Economy & Tourism
  • H.E. Justin Sun – Founder/Global Advisory Board, TRON/HTX Global Advisory Board
  • Rachel Conlan – Global Chief Marketing Officer, Binance 
  • Mr. Ahmed Bin Sulayem – Executive Chairman and CEO, DMCC
  • Jason Allegrante – Chief Legal and Compliance Officer, Fireblocks
  • Pierre Samaties – Chief Business Officer, DFINITY
  • Marcello Mari – Founder & Chief Executive Officer, SingularityDAO
  • David Palmer – Chief Product Officer, Co-founder, Vodafone
  • Alicia Kao – Managing Director, KuCoin

… and many more will deliver groundbreaking insights and announcements at the highest level. 

Themes including digital currency, blockchain regulations and Web3 gaming will deep-dive into real-life applications, while workshops will provide practical ‘how-to’ frameworks, models, implementation guidance, and success metrics. 

The Global Blockchain Show is the only event that gives you a 360-degree roadmap of how individuals can leverage blockchain technology effectively. And it does not stop there. Monthly virtual roundtable conferences, quarterly reports, private project meetings and much more are set to take place all year round to ensure that the story of blockchain’s impact, innovation and integration is told in its entirety. 

Additionally, the Global Blockchain Show is led by a multidisciplinary advisory board, composed of industry leaders and experts such as Ida Mok, Chief Strategy Officer, W3GG, President, Women in Blockchain Asia; Christian Gleich, International Ambassador, European Blockchain Association; Nena Dokuzov, Coordinator, Strategy of Digital Transformation of Economy, Ministry of the Economy, Tourism, and Sport, Slovenia, among others. The board will regularly meet to discuss key industry developments through the year as well as be the committee steering the discussions that happen live on stage. 

“With a community of over 110,000, the Ultimate Blockchain Season Finale is set to open up opportunities to network with some of the most influential voices in the industry, all gathered together in a common area,” said Vishal Parmar.

So what are you waiting for? Head to: https://www.globalblockchainshow.com/tickets/ and grab your tickets to attend the grand finale of events this year. 

Tether facilitates $45 million crude Middle East oil transaction

Tether facilitates $45 million crude Middle East oil transaction

Tether, issuer of stablecoin USDT, through its Investment division has financed a physical crude oil transaction, in the Middle East, between a publicly traded super-major oil company and a top-tier commodity trader worth $45 million. The transaction which was completed in in October 2024, facilitated the loading and transporting of 670,000 barrels of Middle Eastern crude oil. This was Tether Investments’ first crude oil transaction in the region.

Launched earlier this year, Tether’s Trade Finance business has quickly scaled to support the $10 trillion trade finance industry by providing accessible capital solutions that streamline and modernize global trade flows. This new venture, part of Tether Investments, is separated from Tether’s Stablecoin reserves and leverages the company’s high profitability as demonstrated in its recently published quarterly attestation for Q3/2024. Tether aims to help drive positive change within the trade finance industry by providing flexible capital solutions to a wide range of companies and driving efficiency in trade flows through its stablecoin, USD₮.

“Tether Investments’ financing of this significant crude oil transaction underscores our commitment to reshaping the trade finance landscape,” said Paolo Ardoino, CEO of Tether. “With USD₮, we’re bringing efficiency and speed to markets that have historically relied on slower, more costly payment structures. This transaction marks the beginning, as we look to support a broader range of commodities and industries, fostering greater inclusivity and innovation in global finance.”

Tether is driving the use of USD₮ in trade finance transactions, which lowers costs and reduces payment times – a distinct benefit over traditional lending – while leveraging top-tier compliance and AML standards, boosted by the transparency of blockchain networks.

Tether has been steadily growing its presence in the Middle East announcing that it will be launching the AED stablecoin in UAE. 2024 is proving to be a landmark year for stablecoins in the UAE. Through the first half of the year, the value of stablecoins received by services, particularly on centralised and decentralised exchanges (CEX and DEX) in the country totalled over $9.8billion, a 55 per cent spike over the $6.3billion received over H1 2023.

Consequently, stablecoins now account for the largest share of crypto activity in the UAE (51 per cent), which stands significantly higher than both Bitcoin (19 per cent) and Ether (9 per cent), which are typically considered to be the most recognized and popular cryptocurrencies.