- The Central Bank of the United Arab Emirates (CBUAE) has granted Preliminary approval of dirham-pegged stablecoin (AE currency).
- Accepted in accordance with Payment Token Services Regulations, AE Coin aims to make cryptocurrencies more accessible In the UAE.
- It will bring many advantages to the financial industry, including Transactions are more stable and transparent than traditional banking methods.
CBUAE has given AED stablecoin approved in principle Build your own fiat-backed virtual currency.
The approval of the AED stablecoin makes AE Coin the first regulated dirham-pegged stablecoin in the UAE.
If fully approved, virtual currency could make crypto payments easier, offers New opportunities for UAE businesses and individuals Thrive in the digital economy.
AE Coin will improve the UAE’s financial sector
According to recent Chainaanalysis data, this The UAE is the third largest crypto economy Middle East and North Africa (MENA).
AE Coin (based on Payment Token Service Regulation Framework) aimed at improving financial services in the emirate.
It can provide many benefits, including:
- Safe and stable Since it is backed by fiat currency (Dirham)
- Transactions are traceable and transparent through blockchain technology
- Domestic transfer Make financial transactions faster and more efficient than traditional banking methods
- dApp compatibility Allowing UAE citizens to easily participate in DeFi activities
The stablecoin’s roadmap includes forming alliances with payment gateways and financial institutions to Promoting widespread cryptocurrency adoption in the UAE.
Additionally, plans are reportedly underway Listed on major exchanges For seamless AE coin access.
7 unlicensed cryptocurrency entities in Dubai face huge fines
Although the Dubai Virtual Assets Regulatory Authority (VARA) recently Fines imposed on seven unlicensed cryptocurrency businesses (from $13,000 to $27,000 per ticket), the UAE is increasingly increasing its cryptocurrency acceptance.
VARA’s regulatory framework is very strictrequiring virtual asset providers Maintain legal entity in UAE and Reserve assets are equivalent to 100%. Violations of marketing regulations will be punished.
By charging non-compliant cryptocurrency companies, VARA aims to Protect individuals from those offering illegal encryption services. The bureau ensures transparency and security for investors.
Conclusion – The cryptocurrency future in the Middle East looks promising
As safety, innovation develop in pipelines, Improving the financial landscape in the Middle EastThe cryptocurrency future in the UAE appears to be booming.
Meanwhile, VARA’s fine highlights UAE committed to maintaining credibility in cryptocurrency sector and its users.
As stablecoin issuance expands globally, this type of digital currency is expected to be Global mainstream payment methods. The UAE is following this trend.
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