Gulf Region Emerges as Crypto Haven, Attracting Businesses with Progressive Regulatory Frameworks
Summary:
Alex Chehade, the general manager of Binance FZE, stated that progressive regulatory frameworks in the Gulf region are attracting major cryptocurrency businesses and startups. Chehade emphasized the region's regulatory transparency and constant fostering of this developing industry. He also highlighted Binance's key role as an enabler for Web3 companies settling in the region. This sentiment was echoed by Akshay Chopra, Visa's Head of Innovation and Design, who praised the region's advanced view of blockchain and crypto. Furthermore, research from Chainalysis indicates that the Middle East and North Africa (MENA) region is witnessing the fastest growth in the crypto market.
According to Alex Chehade, general manager of Binance FZE, significant cryptocurrency businesses and exchanges are being attracted to the Gulf region, referred to as a crypto haven. In an interview with Ezra Reguerra from Cointelegraph, Chehade, who is in charge of Binance's operations in Dubai, revealed that the region's forward-thinking regulatory structures are particularly appealing to both fresh startups and established players in the industry. The Middle East offers regulatory certainty and transparency, with specialized virtual asset regulators like VARA in Dubai, ADGM's virtual asset framework, and Bahrain's Central Bank openness to cryptocurrencies. He feels that regulators in other regions still struggle to comprehend the complexities of the cryptocurrency sector due to a lack of knowledge, or simply insufficient resources to begin regulating the sector.
A multitude of events like GITEX and Future Blockchain Summit, alongside the arrival of global companies, are indicators of the region's conducive business environment. Chehade adds that in order to establish long-term plans, businesses require tangible regulatory clarity and stability, which these particular jurisdictions are providing.
Chehade emphasizes Binance's pivotal role in encouraging enterprises and startups in the Web3 field to settle in the region. He said, "As the largest Web3 firm globally, we are an enabler of the ecosystem. There is a healthy environment with both large and small players, and our size often brings about network effects."
Chehade informed his audience that Binance now has around 600 employees in Dubai and continues to support industry growth. Binance FZE, which has been functioning as a regulated exchange in Dubai for a year and a half, is separate from its global activities, with inherent custodial and operational services.
In a previous dialogue with Cointelegraph at the Blockchain Economy Dubai Summit, Visa’s Vice President and Head of Innovation and Design, Akshay Chopra, shared Chehade's positive outlook regarding the region's advanced regulatory view. As one of the directors of MENA's Fintech Association, Chopra underscored the forward-thinking, inclusive perspective towards blockchain and crypto solutions as a defining factor propelling the sector's growth in the area.
Research by Chainalysis, a blockchain analysis firm, reveals that the MENA region is witnessing the most rapid growth as a crypto market. Users received $566 billion in digital currency transactions from July 2021 to June 2022 in the area. Additional information was provided by Ezra Reguerra.
Published At
10/18/2023 9:45:13 AM
Disclaimer: Algoine does not endorse any content or product on this page. Readers should conduct their own research before taking any actions related to the asset, company, or any information in this article and assume full responsibility for their decisions. This article should not be considered as investment advice. Our news is prepared with AI support.
Do you suspect this content may be misleading, incomplete, or inappropriate in any way, requiring modification or removal?
We appreciate your report.