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UAE’s Crypto Race Heats Up: Kraken Gears Up For Abu Dhabi Operations

UAE’s Crypto Race Heats Up: Kraken Gears Up For Abu Dhabi Operations

With the crypto race heating up in the United Arab Emirates, the crypto exchange Kraken has recently obtained the crypto operations license, allowing it to set up shop in Abu Dhabi. 

Crypto Firms Flock To Dubai

The crypto firm will set up its regional office in Abu Dhabi to operate its virtual asset platform in UAE. Operations will start during Q2 or Q3 of 2022, catering to a new client base in matters of investing, trading, withdrawing, and depositing digital assets directly in dirhams. 

The UAE’s pro-crypto stance has drawn in several crypto firms and exchanges to set up operational bases. The world’s largest crypto exchange, Binance, has been looking to acquire an operational license in Dubai, to set up shop in the Dubai World Trade Centre. Initial reports have claimed that the crypto firm is awaiting its accreditation to operate as a crypto services provider in the DWTC after signing an agreement with the latter to pursue expansion. The DWTC also seeks to establish an independent crypto authority and develop itself as a ‘free zone’ for crypto operations. 

Another crypto front runner and one of Binance’s top competitors, FTX, had also applied and received the license from Dubai’s virtual asset service provider authority to set up a regional headquarter in the city. Other noteworthy crypto firms to have made their presence felt in the UAE are BitOasis, Bybit, and Crypto.com. 

Middle East’s Third Largest Crypto Market

As the US and other global superpowers clamp down on crypto regulations, firms and exchanges have been looking for countries with a more progressive approach to the industry. The UAE, with its oil-supported economy and temperate views on cryptocurrencies, presents an attractive climate for the world’s largest crypto firms like Kraken, Binance, etc., making it the Middle East’s third-largest crypto market. The country’s capital, Abu Dhabi, has been also polished up and presented as the next big global crypto hub by adopting a virtual asset regulatory framework back in 2018. Dubai also has followed suit recently by establishing a similar yet independent authority that will regulate the city’s crypto sector. 

Crypto In Dubai School, Real Estate

Dubai has also been incorporating crypto and blockchain tech into the daily facets of life in the city. For example, the Citizens School, which will be starting classes in September 2022 in Dubai, has announced that it will accept tuition fee payments in BTC and ETH along with Dirhams. In addition, the city’s renowned real estate developer, Paradise Hills Property Development, has also partnered with a p2p network company, ThreeFold, to introduce the world’s largest decentralized internet cloud powered by the ThreeFold Blockchain into homes in Dubai. As a result, these homeowners will have the computing power and internet storage to run decentralized applications (dApps). 

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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