The Abu Dhabi Global Market (ADGM) registration authority has launched a consultation document seeking feedback on its proposed new framework for the distributed ledger technology (DLT) market and token issuance.
The regulatory authority has set a deadline of Friday, May 12 for providing feedback on the proposed legal framework.
Following that, the regulatory agency will analyse the feedback, and the ADGM Board of Directors will deliver the legal plan in its final form.
The United Arab Emirates has been attempting to establish itself as a favourable investment destination for blockchain-related businesses. Dubai announced plans earlier this year to allow crypto firms to receive appropriate operational licences.
All aspiring crypto firms in Dubai are expected to seek clearance from the Virtual Assets Regulation Authority under the new licencing mandate (VARA).
Interestingly, the UAE is eager to lure crypto companies from the United States that are fleeing hostile takeovers by the Securities and Exchange Commission. In its latest attempt to diversify into the worldwide sector, Coinbase Global Inc (NASDAQ: COIN) has sought Dubai crypto licences.
Binance and Ripple Labs are two other significant crypto investors in the Dubai sector. As a result, the local government has been able to complete projects including employment development and economic progress.
