PwC Middle East identifies a three-stage facilitative model for cryptocurrency regulation in the UAE
- Date: 09-Aug-2022
- Source: Zawya
- Sector:Financial Markets
- Country:UAE
PwC Middle East identifies a three-stage facilitative model for cryptocurrency regulation in the UAE
- Recent legislative measures undertaken by the government aims to reduce the potential financial crime risk in the nascent industry
Dubai, UAE: PwC Middle East today launched a new report titled, The UAE Virtual Assets Market which provides insight on cryptocurrencies and virtual assets in the UAE. The report also identifies a three-stage facilitative model for UAE regulators, to ensure transparency and compliance to promote long-term growth in the sector.
Currently the UAE’s share in the global market is around $25 billion transactions, and it has increased 500% between July 2020 and June 2021. Regionally, the UAE ranks third by volume, behind Turkey which had $132 billion in transactions volumes and close to Lebanon at $26 billion. The UAE has been harbouring an encouraging environment for the growth of its crypto industry with Dubai’s enactment of the Virtual Assets Law and establishment of the Dubai Virtual Assets Regulatory Authority (VARA), and while the industry was largely unregulated a few years ago, recent legislative measures have shown the government’s commitment to reduce the potential financial crime risk in the nascent industry.
- Clear regulations
This crucial building block is clear and unambiguous legislation, backed by law enforcement. The UAE requires a comprehensive, all-encompassing framework that