Just as technology has modified the way people live, it has influenced the money matter as well. Digital transactions of money have been happening for around two decades now but trillions are moving now every day through tokenized money. That is where money 2.0 have come in. Digital currencies are evolving rapidly and are attracting the attention of every business at the moment. Cryptocurrency has been gaining popularity globally and has attracted Dubai residents as well. Dubai government has also welcomed this change. The regulations passed recently by the Ruler of Dubai, His Highness Sheikh Mohammed Bin Rashid Al Maktoum are an indication that Dubai is embracing the new digital currencies and is ready to use them legally as well as protect the rights of investors in this space. 2022 has witnessed the establishing of Dubai Virtual Assets Regulatory Authority (VARA) and now dealing in cryptocurrencies is legally permitted in the UAE. After Microsoft there are many other local companies in Dubai that are now accepting payments in Bitcoin, Ethereum, and Litecoin such as SFM corporate services, Kiklabb, Bake N More, Blockobi among others. Even aesthetics clinics are open to accept payments in cryptocurrency such as Skin 111 and Idoneous Ink.
Businesses will thrive upon the growth of cryptocurrency. Binance, which is the world’s largest cryptocurrency exchange, has received its virtual asset license from Dubai. FTC from Europe is also in the process of setting up its regional headquarters in Dubai. Global exchange Bybit is working on its developments in Dubai to ensure it does not stay behind in tapping into this fast-evolving crypto business market. Dubai plans to lead in the regional economic competition by fast developing its footing in the realm of money 2.0.
Banks are gradually easing towards the idea of cryptocurrency in business. There are a few independent entities in money 2.0, which are not trust by the local banks. But the regulated crypto authorities and entities are considered by banks. With time, banks will open up with more policies towards this new form of money and financial business deals. There are chances of central bank issuing its on cryptocurrency, which will add the to competition in digital currencies. Moving forward, the system will have to be institutionalized to ensure that the investors feel safe as there are fair and predictable policies guarding their investments in cryptocurrencies. Time will regulate and eliminate the volatility of cryptocurrencies.
When we talk about the market share of cryptocurrencies in the Middle East, it is still quite nascent. However, the interest is growing fast. The awareness is spreading and knowledge oriented discussions about cryptocurrency have become very common in the region. The younger generation is totally for it considering, the decentralization and ease of money transfers in the digital space.
The realm of cryptocurrency and blockchain offers endless opportunities for startups as they do not need a bank account for their transactions. They may use their cryptocurrency exchanges to pay and receive in cryptocurrency and the chances of growth are many. The volatility can be controlled through learning more and managing the assets and the digital currency. It is an exciting time for entrepreneurs to leverage upon blockchain technology and the freedom that is offered by cryptocurrency. Innovators can capitalize on many available opportunities.