New legislation to protect cryptocurrency exchange users faces mixed reactions

New legislation to protect cryptocurrency exchange users faces mixed reactions

South Korea’s Financial Services Commission (FSC) introduced new legislation last week to bolster state-led oversight of the local cryptocurrency sector and enhance user protection despite concerns among industry leaders.

While South Korea’s burgeoning cryptocurrency market attracts increasing interest from global blockchain enterprises, recent high-profile incidents such as the collapse of Terra — a South Korean-led blockchain platform — point to the continued lack of centralized measures to safeguard the users’ assets.

The South Korean government’s pledge to improve its regulatory framework by enacting the Act on the Protection of Virtual Asset Users is, in part, a response to such concerns.

However, experts told Korea Pro that the country’s new legal measure comes with a significant risk, contradicting the fundamental allure of the cryptocurrency market — decentralization.

THE NEW LAW

Scheduled to take effect from July 19, after being passed by the National Assembly last June, the primary aim of the Act on the Protection of Virtual Asset Users is to oversee and protect participants in the burgeoning virtual assets market.

The law’s core objective is to protect individuals engaged in various activities within this domain, including trading, exchanging, transferring, storing, or managing virtual assets. Essentially, it serves as a regulatory framework designed to uphold the integrity of cryptocurrency transactions while prioritizing the security of users’ assets.

Under the legislation, virtual assets are defined as “electronic proofs” — assets that possess economic value and are tradable or transferable electronically. The law also delineates entities excluded from virtual assets, such as in-game currencies, and imposes obligations on virtual asset service providers (VASPs) to manage users’ deposits and assets securely.

In particular, regulations mandate that a significant portion of user assets must be stored in secure offline storage — known as cold wallets — to mitigate the risk of hacking and security breaches.

It also establishes criteria for insurance coverage or reserve fund accumulation to address risks stemming from hacking or system failures, stating that companies must have insurance or reserves to compensate users. The amount of insurance coverage required depends on the value of assets the company holds.

To address issues concerning the disclosure of vital information, insider trading, and the blocking of user assets, the legislation prohibits unjustifiable blocking of user deposits and assets, mandating crypto exchanges monitor abnormal transactions and impose severe fines for unfair trading practices.

Oh-hoon Kwon, a representative attorney at Cha & Kwon, told Korea Pro that the new act will still apply to fraudulent activities overseas if their effects are felt domestically.

“This means that foreign VASPs conducting business targeting Korea are also subject to this act,” Kwon said.

The new legislation follows the implementation of a similar law on regulating uniformity for crypto-assets in the European Union, enacted last June.

However, Kwon noted to Korea Pro that Seoul’s new law on crypto exchanges differs from the EU’s Markets in Crypto-Assets Regulations (MiCA) law in that MiCA has a broader target scope, regulating various aspects of crypto-assets across different operational domains while Seoul’s new legislation is more narrowly tailored, specifically targeting activities within virtual asset exchanges.

RECENT CONTROVERSIES

The act was prompted by a significant industry shakeup involving Terraform Labs, the start-up behind Terra, a blockchain protocol and payments platform, and its founder, Do Kwon.

Terra blockchain specialized in algorithmic stablecoins, which are cryptocurrencies backed by reserve assets such as fiat currencies like the U.S. dollar and aim to maintain a 1:1 peg with the underlying currency.

However, terraUSD (UST), instead of being backed directly by fiat currency reserves, relied on algorithmic equations and its sister cryptocurrency, LUNA, to stabilize its supply and demand, thereby maintaining its value at $1 as it fluctuated alongside the U.S. dollar.

Before its crash, Terra had gained significant attention within the crypto community. However, in May 2022, concerns about Do Kwon’s alleged involvement in illicit activities and questionable business practices emerged, triggering a sell-off of UST and LUNA tokens.

This also caused UST to “de-peg” from the dollar, meaning its value was no longer fixed at $1 and fluctuated independently. Consequently, both cryptocurrencies experienced a collapse in value.

Thousands of investors lost over $400 billion in investments, highlighting the necessity for transparency, accountability and regulatory compliance in the virtual asset market and prompting governments to forge newer regulations to protect against such incidents.

Edward Dhong, a senior foreign attorney at Yoon & Yang, told the Asia Law Business Journal that the country’s insufficient regulations to safeguard virtual asset users did not align with South Korea’s substantial scale of crypto transactions in 2021.

A STEP IN THE RIGHT DIRECTION?

Amid fears of a collapse similar to the one seen with Terra and to ensure user protection, the new law targets cryptocurrency exchanges based in South Korea, mandating they store user assets through banks in bond and offline to enhance user security.

Third-party management operations are also barred, and service providers must hold assets identical in amount and type to those entrusted by users.

The new act is the latest in the National Assembly’s continued efforts to streamline legislation in line with unconventional currencies, such as tabling a bill to oversee digital assets independently in Nov. 2022.

In the past, the legal system was subject to more regulatory gaps, as cryptocurrencies were under the jurisdiction of the Capital Markets Act, which is designed for a broader financial market.

Experts told Korea Pro that Seoul’s effort to protect virtual investor assets has been a necessary step forward, considering user concerns about the emerging crypto market.

Anndy Lian, an inter-governmental blockchain advisor based in Singapore, lauded the new law as a catalyst for nurturing a transparent legal environment conducive to the growth and innovation of virtual assets.

He told Korea Pro that it could potentially “attract more investment and participation from domestic and foreign entities.”

Lian also anticipated a “smoother integration of virtual assets into the existing financial system,” allowing for more efficient transactions and services and an improvement in the standards of market practice in South Korea.

While attorney Kwon echoed Lian’s views, outlining that the law provides the groundwork for restraining fraudulent virtual asset trading activities within the market, he also highlighted the need for the law to incorporate additional guidelines offering clarity on its clauses.

“While this legislation targets fraudulent virtual asset trading activities, such as unfair trading, it lacks specific details regarding the various forms of fraudulent behavior,” Kwon explained.

Lian also acknowledged this, noting several significant hurdles the legislation must overcome to successfully exercise its projected role in the South Korean virtual asset market.

He noted that the stringent regulations could potentially cause VASPs to exit the South Korean market and restrict crypto services for South Korean users, as the costs and guidelines required by South Korean jurisdiction may prove too challenging.

“We need to understand that we are dealing with innovation and it changes very fast. Creating a baseline and having backup correction plans along the journey would be a more protective method for the South Korean market,” according to Lian.

 

Source: https://koreapro.org/2024/02/new-legislation-to-protect-cryptocurrency-exchange-users-faces-mixed-reactions/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Tether under scrutiny: A deep dive into cryptocurrency crime allegations

Tether under scrutiny: A deep dive into cryptocurrency crime allegations

A recent report by the United Nations Office on Drugs and Crime (UNODC) has warned that Tether, one of the world’s most traded cryptocurrencies, has become a key tool for criminals, money launderers and scammers in East and Southeast Asia.

The report claims that Tether’s stability, ease of use, anonymity and low transaction fees have made it the preferred choice for fraudsters and money launderers alike and that its popularity is illustrated by the surging volume of cyber fraud, money laundering and underground banking cases involving the stablecoin.

However, some crypto enthusiasts and experts have challenged the validity and accuracy of the UN report, arguing that it is based on flawed assumptions, incomplete data and biased analysis. They contend that Tether is not the most preferred currency for illicit activities, that it is not as anonymous and untraceable as the report suggests, and that bad actors can use other cryptocurrencies and techniques to evade detection and regulation.

In this article, I will examine both sides of the debate and offer my own opinion on the matter.

What is Tether, and why is it popular?

Tether is a company that runs a blockchain platform and issues digital tokens pegged to real-world currencies with the backing of its own financial reserves, most notably USDT, or tether, which is tied to the US dollar one-for-one. Tether claims that its tokens are fully backed by fiat currency and other assets and that they provide a stable and transparent alternative to volatile and unpredictable cryptocurrencies.

Tether’s main appeal lies in its ability to bridge the gap between the traditional and the crypto worlds, offering users the benefits of both. Tether users can enjoy the speed, security, low cost and global reach of blockchain transactions while also maintaining the stability, liquidity and familiarity of fiat currencies.

Tether also enables users to access various crypto platforms and services, such as exchanges, wallets, lending, gaming and gambling, without having to deal with the complexities and risks of converting between different currencies and tokens.

According to CoinMarketCap, Tether is the world’s third-largest cryptocurrency by market capitalisation, behind only Bitcoin and Ethereum, with a market cap of over US$95 billion as of January 16, 2024.

Tether also has the highest daily trading volume of any cryptocurrency, surpassing even Bitcoin, with an average of over US$100 billion traded per day. Tether is widely accepted and supported by hundreds of crypto platforms and service providers, as well as some regulated entities, such as banks and payment processors.

What are the allegations against Tether?

Despite its popularity and success, Tether has also been plagued by controversies and criticisms, ranging from its lack of transparency and accountability to its involvement in market manipulation and fraud to its vulnerability to hacking and theft. Tether has faced several lawsuits, investigations and regulatory actions from various authorities and stakeholders, both in the US and abroad, over its business practices, operations and compliance.

The most recent and alarming accusation against Tether comes from the UNODC report, which alleges that Tether has quickly become the platform of choice for money laundering and fraud operations across East and Southeast Asia.

The report cites intelligence from law enforcement and financial authorities in the region, who report that Tether ranks among the most popular cryptocurrencies used by organised crime groups, especially those operating online casinos, which have emerged as among the most popular vehicles for cryptocurrency-based money launderers.

The report also details how Tether is used to facilitate various schemes, such as “sextortion”, a form of blackmail threatening to post sexual content or information about a person, and “pig butchering”, a socially engineered romance designed to “fatten up” targets before extracting money. It claims that Tether’s appeal to criminals lies in its speedy and irreversible transactions, its low detection and traceability, and its ability to bypass regulatory and legal barriers.

The same report also highlights the role of “motorcades”, which are sophisticated, high-speed money laundering teams that specialise in Tether transactions. These teams advertise their services on social media platforms, such as Facebook, TikTok and Telegram, and offer to exchange Tether for fiat currency or other cryptocurrencies for a percentage of the total laundered and transferred funds. It says that these teams have seen a rapid uptick in recent years and that they pose a serious challenge to law enforcement and financial authorities.

What are the counterarguments to the UN report?

In my humble opinion, the UN report has been met with scepticism and criticism, and some other experts also question its methodology, data, and conclusions. They argue that the report is based on anecdotal evidence, selective cases and biased sources and that it does not provide a comprehensive and accurate picture of the crypto landscape and the role of Tether in it. I want to also point out the flaws and limitations of the report and offer alternative explanations and perspectives on the issue.

One of the main counterarguments to the UN report is that Tether is not the most preferred currency for illicit activities and that other cryptocurrencies, such as Bitcoin, Ethereum, and BNB, are perhaps more widely used and more suitable for such purposes.

It is cited in various studies and reports that show that the majority of crypto transactions are legitimate and legal and that only a small fraction of them, around one per cent, is associated with criminal and illicit activities.

I would also argue that Tether is not as anonymous and untraceable as the report suggests and that it is possible to track and monitor Tether transactions using blockchain analysis tools and techniques. They point out that Tether transactions are recorded on public ledgers, such as the Bitcoin, Ethereum and Tron blockchains, and that they can be linked to real-world identities and entities using various methods, such as IP addresses, wallet addresses, exchange accounts, KYC information and network activity.

It also contends that bad actors can use other cryptocurrencies and techniques to evade detection and regulation and that Tether is not the only or the best option for them. They mention the use of privacy coins, such as Monero and Zcash, which offer enhanced anonymity and obfuscation features, such as stealth addresses, ring signatures, zero-knowledge proofs and confidential transactions.

They also mention the use of crypto mixers, such as Tornado Cash and Wasabi, which offer decentralised and trustless solutions for mixing and tumbling coins, making it harder to trace their origin and destination.

What is my opinion on the matter?

Based on my research and analysis, I think that the UN report has some merit and validity, but it also has some flaws and limitations. I think that Tether is indeed a popular and convenient tool for some criminals, money launderers and scammers, especially in East and Southeast Asia, where there is a high demand and supply for crypto services and products and where there is a lack of effective and consistent regulation and enforcement.

I think that Tether’s features and benefits, such as its stability, ease of use, low cost and global reach, also make it attractive and useful for such actors, who can exploit its loopholes and weaknesses to their advantage.

However, I also think that the UN report is not conclusive and definitive and that it does not capture the whole and true picture of the crypto landscape and the role of Tether in it. I think that Tether is not the only or the most preferred currency for illicit activities and that other cryptocurrencies and techniques are more widely used and more suitable for such purposes.

I think that Tether is not as anonymous and untraceable as the report suggests and that it is possible to track and monitor Tether transactions using blockchain analysis tools and techniques. I think that the UN report is based on anecdotal evidence, selective cases and biased sources and that it does not provide comprehensive and accurate data and analysis on the issue.

To stay within my argument, here is some food for thought — Tether has conducted the biggest-ever USDT freeze of US$225 million linked to a human trafficking syndicate. They worked hand in hand on this occasion with leading crypto exchanges, OKX and DOJ. This shows Tether’s willingness to help the industry and, to a certain extent, stay accountable and transparent.

Therefore, my opinion is that it is not fair or accurate to label it as the crypto of choice for criminals. I think that Tether has a legitimate and valuable role and function in the crypto ecosystem and that it provides a stable and transparent alternative to volatile and unpredictable cryptocurrencies.

I think that Tether also has a lot of room and potential for improvement and innovation and that it can address and resolve its controversies and criticisms by enhancing its transparency and accountability, complying with relevant laws and regulations, and cooperating with authorities and stakeholders.

 

Source: https://e27.co/tether-under-scrutiny-a-deep-dive-into-cryptocurrency-crime-allegations-20240123/

Insights

What is Tether, and why has it gained popularity in the cryptocurrency market?

Tether is a blockchain platform that issues digital tokens, such as USDT, pegged to real-world currencies, offering stability and transparency. Its popularity stems from bridging traditional and crypto worlds, combining the benefits of blockchain transactions with the stability and familiarity of fiat currencies.

What are the allegations against Tether regarding its involvement in illicit activities?

What counterarguments exist against the UNODC report's accusations towards Tether?

In the article, Anndy Lian argues that the UN report lacks comprehensive data and relies on anecdotal evidence. They contend that Tether is not the primary choice for illicit activities, pointing to other cryptocurrencies like Bitcoin and Ethereum. Moreover, they emphasize the traceability of Tether transactions through blockchain analysis tools and highlight alternative options, such as privacy coins and crypto mixers.

What is the Anndy Lian's opinion on the UNODC report and Tether's role in illicit activities?

Anndy Lian acknowledges the UN report's merit but criticizes its flaws and limitations. They argue that Tether serves as a tool for criminals in specific regions due to the demand for crypto services and lax regulation. However, the author contends that Tether is not the exclusive choice for illicit activities and suggests that the report is based on biased sources. They advocate for a more nuanced perspective on Tether's role in the crypto landscape.

How does Tether respond to accusations of involvement in criminal activities, and what is the author, Anndy Lian's overall opinion on Tether?

Tether has taken action against criminal activities, evidenced by a significant USDT freeze linked to a human trafficking syndicate, showcasing a commitment to industry integrity. The author concludes that labeling Tether as the go-to crypto for criminals is unfair, emphasizing its legitimate role in the crypto ecosystem. Anndy Lian believes Tether can improve by addressing controversies, enhancing transparency, complying with regulations, and collaborating with authorities.

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

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Understanding Abu Dhabi’s Rise as a Cryptocurrency Hub

Understanding Abu Dhabi’s Rise as a Cryptocurrency Hub

Insights

What makes Abu Dhabi a preferred destination for cryptocurrency enterprises?

As mentioned by Anndy Lian in the article, he said that Abu Dhabi's appeal to cryptocurrency enterprises stems from its comprehensive and forward-looking regulatory approach to crypto assets, a business-friendly environment, strategic geographic positioning, and a high quality of life.

What role does the Abu Dhabi Global Market (ADGM) play in the rise of Abu Dhabi as a crypto hub?

ADGM, as an international financial center, provides a regulatory framework modeled after English and Welsh common law. The Financial Services Regulatory Authority (FSRA) within ADGM spearheaded cryptocurrency regulation, offering clarity on various crypto activities and aligning with international standards.

How has Abu Dhabi attracted prominent crypto entities like Kraken and Paxos?

Abu Dhabi's regulatory framework and business-friendly incentives, such as a tax-friendly regime, 100% foreign ownership, and strategic geographic positioning, have attracted leading crypto entities like Kraken and Paxos to establish operations in ADGM.

What challenges does Abu Dhabi face in becoming a cryptocurrency hub, and how does it address them?

Abu Dhabi faces challenges such as crypto market volatility and competition from other jurisdictions. To address these challenges, a vigilant and adaptable approach from both crypto companies and regulators is deemed vital for fostering a resilient and thriving crypto sector.

How does Abu Dhabi compare to other jurisdictions, particularly Dubai, in terms of crypto regulations?

Comparisons between Abu Dhabi and Dubai highlight differences in regulatory perspectives, with concerns about the Virtual Asset Regulatory Authority (VARA) in Dubai. Clear, consistent policies and resource optimization are seen as crucial for Abu Dhabi to maintain its position as a leading crypto hub amidst competitive pressures.

 

Abu Dhabi, the capital and the most expansive emirate of the United Arab Emirates, is swiftly becoming the preferred destination for cryptocurrency enterprises within the region and globally. This rise to prominence is the result of the emirates’ comprehensive and forward-looking regulatory approach to crypto assets, which has drawn industry heavyweights. Coupled with a business-friendly environment, a geographically strategic position, and a superior quality of life, Abu Dhabi presents a compelling case for investors and entrepreneurs in the cryptocurrency domain.

Central to Abu Dhabi’s distinctive appeal is the Abu Dhabi Global Market (ADGM), an international financial center and free zone established on Al Maryah Island. Inaugurated in 2013 and operational since 2015, ADGM offers an extensive suite of financial and ancillary services to both local and international firms. It boasts an autonomous legal framework modeled after English and Welsh common law and is regulated by its own Financial Services Regulatory

The FSRA has spearheaded cryptocurrency regulation in the Middle East, unveiling the region’s inaugural exhaustive regulatory framework for crypto assets in June 2018. This pioneering framework comprehensively governs the full spectrum of crypto asset activities, encompassing issuance, trading, custody, and brokerage services, while addressing the predominant risks such as money laundering, terrorism financing, consumer protection, market integrity, and technological governance. Furthermore, the FSRA provides regulatory clarity on initial coin offerings (ICOs) and stablecoins and aligns with international standards and best practices in the sector.

By understanding Abu Dhabi’s unique positioning and proactive stance, we can better comprehend its ascent as a crypto hub and its implications for the broader financial landscape.

Abu Dhabi’s crypto regulatory framework has garnered significant acclaim and attention from the crypto community. Its comprehensive rules provide clarity and confidence for crypto businesses operating within Abu Dhabi, fostering an environment ripe for innovation and growth in the sector. This flexibility is conducive to emerging technologies and business models, from decentralized exchanges to tokenization platforms and digital asset funds. Regulatory authorities have developed a symbiotic relationship with the industry, ensuring a continuous exchange of insights and support throughout the regulatory and supervisory process.

This visionary approach has led numerous prominent crypto entities to establish their operations in ADGM. Notable among them, Kraken, a preeminent crypto exchange, became the first international virtual assets exchange group in the UAE to obtain a comprehensive financial license from ADGM in 2022. Similarly, Paxos, a leading blockchain infrastructure platform, received in-principle approvals from FSRA, positioning it to innovate within ADGM’s dynamic framework.

Additionally, Copper, a distinguished crypto custody and brokerage firm, plans to inaugurate a digital securities brokerage using blockchain technology in 2024 after obtaining the necessary FSRA endorsements.

These instances underscore Abu Dhabi’s emerging prominence as the regional hub of choice for the crypto industry, with expectations for increased migration of similar firms shortly.

Moreover, Abu Dhabi’s appeal as a crypto haven extends beyond its regulatory landscape. As one of the globe’s most affluent and stable nations, boasting a GDP of $508 billion and a per capita income of $87,729, the emirate has a multifaceted economy with strengths across various sectors, including energy, aerospace, tourism, and healthcare. Home to some of the world’s largest sovereign wealth and private investment firms, Abu Dhabi is a powerhouse of capital.

Businesses in ADGM benefit from an array of incentives: a tax-friendly regime with no corporate, personal, or withholding taxes, and exemption from VAT for financial services; 100% foreign ownership with unfettered capital and profit repatriation; world-class infrastructure; strategic geographic positioning for market access across Asia, Africa, and Europe; and an advantageous time zone.

Coupled with a high quality of life, cosmopolitan culture, and a spectrum of lifestyle amenities, Abu Dhabi is an increasingly compelling choice for crypto companies seeking to broaden their international presence and leverage the burgeoning opportunities across the region and beyond.

Abu Dhabi’s emergence as a pivotal cryptocurrency hub in both the UAE and the wider MENA region is a testament to its holistic regulatory landscape and conducive business environment. The emirate’s strategic location augments its appeal, drawing leading crypto companies worldwide and nurturing a dynamic, multifaceted crypto ecosystem. Abu Dhabi’s commitment to innovation and its aspiration to be at the forefront of the crypto sector is evident in the progressive policies it has implemented.

However, Abu Dhabi’s ambitions are not without challenges. The crypto market is notorious for its volatility, presenting a spectrum of risks that could impact the emirate’s crypto businesses and investors. Such challenges are not unique to the country; they reflect broader uncertainties inherent in the global crypto landscape.

Competing jurisdictions vie for the attention of crypto enterprises with varying regulatory climates, potentially offering more appealing conditions. Within the region, the comparison between Abu Dhabi and Dubai often surfaces, particularly regarding the application and enforcement of crypto regulations. There are concerns that the Virtual Asset Regulatory Authority (VARA) in Dubai may not have the necessary resources or clarity in its guidelines, underscoring the need for unequivocal and stable regulations.

These hurdles necessitate vigilant oversight and an adaptable stance from both crypto companies and regulators in Abu Dhabi. A pragmatic and balanced approach is vital to fostering a resilient and thriving crypto sector within the emirate.
Abu Dhabi’s regulatory framework, spearheaded by the Abu Dhabi Global Market (ADGM) and the Financial Services Regulatory Authority (FSRA), is commendable for its inclusive approach to crypto asset regulation. This approach has placed Abu Dhabi on the map as an inviting destination for global crypto enterprises, and its economic landscape is equally alluring. The emirate’s diverse economy is supported by substantial investments from some of the world’s largest sovereign wealth funds. The business environment, characterized by tax incentives, full foreign ownership, and exemplary infrastructure, is strategically poised to attract crypto companies looking to scale their operations.

Yet, to maintain its trajectory as a crypto hub, Abu Dhabi must navigate the market’s inherent unpredictability and the competitive pressures from other jurisdictions. The contrasts in regulatory perspectives between Abu Dhabi and Dubai highlight the necessity for clear, consistent policies and the optimization of resources.

For Abu Dhabi to continue its rise in the crypto domain, a strategy that embraces vigilant regulation and the flexibility to adapt to the market’s evolving dynamics is essential. Such a strategy will secure Abu Dhabi’s position as a crypto haven and cement its stature as a global leader in the digital economy.

 

 

 

Source: https://intpolicydigest.org/understanding-abu-dhabi-s-rise-as-a-cryptocurrency-hub/

Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.

Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.

An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.

j j j