According to the recent announcement, crypto businesses have been granted the freedom to operate in Dubai Multi-Commodities Centre (DMCC) once registered licenses are admitted.
The report mentions that DMCC has entered into a memorandum of understanding (MoU) with the SCA (Securities and Commodities Authority) to build a regulatory framework for corporations endeavoring, issuing, and trading crypto assets in Dubai city.
This strategic alliance intends to foster growth and development by bringing Blockchain and cryptographic technologies ecosystem in Dubai city.
The Dubai Multi Commodity Centre (DMCC) was founded in 2002 as a government body tasked with improving commodity exchange flows across Dubai, involving approximately 18,000 businesses from various areas and industries.
Agreement to Foster Growth and Promote the Development of Blockchain Applications in Dubai
According to the announcement, the SCA will grant permits for crypto-related companies seeking to set up in DMCC, collaborating closely with the onboarding departments at DMCC. Following that, the SCA would control crypto operations in compliance with their policies, which were declared last year in October 2020, in order to create an interconnected environment for the crypto and Blockchain industries.
Ahmed bin Sulayem, Executive Chairman and Chief Executive Officer of DMCC, also talked about the agreement. According to him, this collaboration builds the foundation for coming partnerships in the crypto domain. Furthermore, he believes that this is a big step toward the opening of the DMCC Crypto Centre, which we will bring to the market in the upcoming years.
Bin Sulayem appears delighted with the partnership with SCA as he mentioned that cutting-edge developments are at the core of our policy, and they will play a vital role in future trade development across Dubai. In his words, “We are able to develop and grow the centralized supervision of the crypto sector to our business district in Dubai by partnering with SCA.”
DMCC is making it simpler for crypto and blockchain enterprises to set up and operate in Dubai city. In 2020, it was reported that DMCC established an agri-commodity trading and sourcing platform named Agriota E-Marketplace based on Blockchain technology to link Indian farmers with the UAE food sector.