Aware of the fact that its oil reserves are dwindling, Dubai is banking on other alternatives to secure the future of its economy. Thus, it seeks to quickly become an ideal place for foreign investors believing in its potential. Recent facts and events prove that Dubai is winning a large part of the competitions. And within ten years from now, its victory will be absolute.
Has Dubai become the new El Dorado for financial giants? In any case, the Canadian firm 3iQ thought it would be a good idea to expand its activities to the economical capital of the United Arab Emirates. Driven by the desire to win over investors from all over the world, the manager of the leading digital asset fund decided to set sail for Dubai.
In an effort to better execute its plan, 3iQ Corp decided to launch its Bitcoin Fund (QBTC) on the Nasdaq Dubai exchange last June. Indeed, this initiative would be a logical consequence of obtaining the double quotation for this fund on the same exchange two months earlier, that is to say, in April 2021.
Dubai, one of the UAE’s emirates, didn’t wait long to adhere to any policy contributing to the crypto market expansion in the Middle East. From now on, local authorities remain open to any project aimed at technological deployment based on blockchain technologies across the region.
More than convinced by the benefits of regional projects to its financial ecosystem, Dubai has undertaken efforts to improve local market conditions. Any investor planning to set up a token or a cryptocurrency platform will now have carte blanche in this economically powerful emirate.
This turn was commented on by Stephen Stonberg, CEO of Bittrex Global. According to him, a new wind is blowing in this former desert land developed into a large metropolis of the Arabian Peninsula.
The fact that Dubai’s jurisdictions seem conducive to any crypto market expansion initiative across the whole region is a godsend, both for local investors and companies like Bittrex. In fact, this global platform expects an increase in the number of crypto exchange fans in the near future.
Seven emirates currently form the UAE. They are: Umm Al Quwain, Ajman, Fujairah, Abu Dhabi, Ras Al Khaimah, Sharjah, and Dubai. The emirates are home to around 10 million people contributing to the GDP of about $420 billion. Note that all of these emirates are part of the Organization of the Petroleum Exporting Countries or OPEC.
It is believed that Dubai still has about ten years of its oil reserves usage left. Knowing that its fossil fuel is slipping through its fingers, the emirate decided to bank on the tertiary sector. To achieve this, the authorities are searching high and low to ensure that Dubai quickly becomes a magnet for travellers, capital assets, and goods.
At the regional level, decision-makers display an ambition that no country can boast in a post-health crisis context. One of the official plans announced by the UAE’s government is to double the country’s GDP by 2030. They intend to increase the gross domestic product by 7% every year in order to reach their goals.
To support the 10-year plan, UAE’s economic leaders leverage multiple initiatives, including financing SMEs through a token platform. However, as it has been said that it will be down to the tertiary sector to contribute, the government is not ruling out the possibility of tokenization and the promotion of cryptocurrencies in the UAE.
Do not forget that the very recent acquisition of tax haven status by the United Arab Emirates is a considerable advantage. At the same time, several regulations related to the crypto industry will indeed emerge this year thanks to the Dubai Financial Services Authority initiative. This will allow the adoption of a regulatory framework for a large number of digital assets.
Muslim Coins aims to make good use of the cryptocurrency advantages to benefit the Muslim world through its MUSC coin based on Binance technology and the BEP-20 standard.
Having launched its IEO on Probit on 30th September and intending to be listed on the platform starting 1st November, the project has been showing rapid growth. Its goal is to support Islamic finance exchanges around MUSC.
Muslim Coins has a truly international ambition and is therefore aimed at all Muslims and non-Muslims who wish to take part in a project aspiring to merge cryptocurrency and real economy with a core principle of wealth redistribution based on Zakat, one of the Five Pillars of Islam. 2% of all of the transactions made on DEXes will be donated to charities.
The Muslim Coins’ roadmap is also very promising, envisaging a wallet and a credit card that will make it possible to further democratize the use of cryptocurrency. It’s a project that will have its place not only within the thriving economy of Dubai but also outside it.
There is every reason to say that Dubai is currently experiencing an upheaval driven by regional turmoil. Its leaders, more than supportive of the integration of any new form of assets into Dubai’s economy, are trying to work things through. Investors are aware of that and don’t hesitate to deploy a whole armada of formulas facilitating crypto introduction and tokenization of Dubai’s financial sector. The arrival of the American Bittrex Global, the Canadian 3iQ and projects like Muslim Coins confirm this.
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The views, thoughts, and opinions expressed in this article belong solely to the author, and should not be taken as investment advice. Do your own research before taking any investment decisions.
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