Dubai Airport Free Zone Authority (DAFZA) has collaborated with the Securities and Commodities Authority (SCA) to fully support crypto transactions within the free zone through an official agreement.
Heading the deal was Dr. Maryam Al Suwaidi, Acting CEO of the Securities and Commodities Authority, and Amna Lootah, the Assistant Director-General of the DAFA.
The agreement requires that the SCA covers the regulation, offering, issuance, listing, and trading of crypto assets and also the licensing of related financial activities within the jurisdiction of the DAFZA.
Therefore, companies that trade with crypto assets within the Free Zone will be licensed by the DAFZA. The SCA, while providing the relevant approvals and licenses to companies in the DAFZA zone will also supervise, control, inspect and investigate them.
According to the report, by the interchanging experiences, practices, and technical support between both parties, the partnership will result in the growth of the cryptocurrency sector and also more exposure of the blockchain network in the emirate of Dubai and the UAE.
Still, on the issue of utilizing the benefits of the crypto industry, Kiklabb, an entity owned by Ports, Customs and Free Zone Corporation, a Government of Dubai organization, started accepting cryptocurrencies like Bitcoin (BTC), Ether (ETH), and (USDt) as a means of payment for its services earlier this year.
The organization, primarily focused on providing licensing solutions for companies and entrepreneurs looking to set up a business in Dubai, now allows users to virtually register and also make payments for trade licenses and visas with their virtual assets.
Not minding the recent dip cryptocurrencies are going through currently, caused by varying factors, DAFZA and the SCA took a step further into the economy.
The Assistant Director-General of DAFZA commented,
“Cryptocurrencies and crypto assets have moved from the stage of showing interest to direct investment, which has got acceptance and investments from key global companies. This will require us to keep pace with this transformation and to follow the new economic era. The UAE and the emirate of Dubai have also confirmed their commitment to blockchain technology through several strategic plans and initiatives that highlight the importance of this sector.”
Affiliate: Get a Ledger Nano X for $119 So That Hackers Won't Steal Your Crypto!