Blockchain and cryptocurrency-focused association has been launched within Abu Dhabi’s free economic zone that aims to further the development of blockchain and crypto ecosystems across the Middle Eastern, North Africa, and Asian regions.
The nonprofit organization will aim to facilitate regulatory solutions, create commercial opportunities and invest in education to support industry growth.
The industry will benefit from the Association as it provides a coordination mechanism between regulators, government agencies, banks, legal, tax, and advisory firms to address the most pressing challenges.
The launch comes as the Financial Services Regulatory Authority (FSRA) the financial regulator of ADGM’s free economic zone published a set of “Guiding Principles” on its approach to navigate the regulatory complexities brought to it by the digital asset industry.
The MENA region is also the fastest-growing cryptocurrency market in the world, according to a recent study. During a 12-month stretch from July 2021 and June 2022, transaction volume in MENA reached $566 billion, an increase of 48% from the previous 12 months.
The use case for cryptocurrencies in many of these emerging markets has come in the form of savings preservation and remittance payments to counter the effects of inflation in highly unstable economies.