UAE Could Become a Potential International Crypto Hub: Coinbase

On Monday, Brian Armstrong, the CEO of Coinbase Inc., a leading cryptocurrency exchange based in the United States, stated that the United Arab Emirates (UAE) could become a hub for crypto currency in the Middle East and parts of Africa and Asia. This remark came after Armstrong met with officials from the Abu Dhabi Global Market (ADGM) and the Virtual Assets Regulatory Authority (VARA) in Abu Dhabi and Dubai, respectively.

“We are looking for a home to set up an international hub that could serve the long tail of countries in the world,”  The UAE is well positioned to expand and serve markets in the Middle East, Africa and Asia.”

Armstrong’s comments suggest that the UAE could be positioning itself to become a significant player in the cryptocurrency industry. The region has already shown interest in digital assets, with the UAE government launching a blockchain-based platform for storing and sharing medical data in 2020. Additionally, in 2021, the UAE central bank announced plans to launch a digital currency as part of a broader effort to modernize the country’s financial infrastructure.

The ADGM and VARA are the regulators responsible for overseeing the development of the cryptocurrency industry in Abu Dhabi and Dubai, respectively. Both agencies have taken steps to create a regulatory framework for virtual assets, with VARA introducing regulations for cryptocurrencies and related activities in 2020.

Armstrong’s meeting with these regulatory bodies suggests that Coinbase is interested in expanding its operations in the region. Coinbase is one of the largest cryptocurrency exchanges in the world, with over 56 million verified users in over 100 countries. The company’s expansion into the UAE would represent a significant step in its global growth strategy.

Overall, Armstrong’s remarks highlight the growing interest in cryptocurrencies in the Middle East, as well as the potential for the UAE to become a significant hub for the industry in the region. The meeting with regulatory bodies suggests that Coinbase is positioning itself to take advantage of this trend and expand its presence in the UAE.

A spate of crypto-related investigations in the United States has prompted companies to turn abroad for financial centers, with Dubai, Singapore, and Hong Kong becoming increasingly attractive to crypto entrepreneurs and investors. Recently, Coinbase launched an international derivatives exchange licensed by Bermuda.

Armstrong will deliver a keynote address at the inaugural Dubai Fintech Summit, under the patronage of His Royal Highness, Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, First Deputy Ruler of Dubai, Deputy Prime Minister and Minister of Finance.

The United Arab Emirates (UAE) is among the world’s leading hubs for web 3.0 development. More than 500 new businesses are being funded to secure the growth of the market for virtual assets.

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