Coinbase CEO, Brian Armstrong, recently praised the United Arab Emirates (UAE) for its progressive stance on cryptocurrency regulation. He applauded the UAE for being a trailblazer with its dedicated crypto regulator, comprehensive guidelines, and business-friendly environment, complete with strong customer protections.
These accolades come amidst increasing tensions with the US Securities and Exchange Commission (SEC) and rumors that Coinbase might be considering a move to the Middle East. The UAE has become a hotspot for crypto businesses, thanks to its favorable regulations and pro-crypto atmosphere. In February, the Central Bank of the UAE even revealed plans to launch a digital currency, which could provide a further boost to the local crypto scene.
UAE’s welcoming approach to cryptocurrency is evident in its regulatory framework. In 2019, the UAE’s Securities and Commodities Authority introduced regulations for initial coin offerings (ICOs), mandating registration and specific disclosure requirements. Additionally, the country’s central bank has issued guidelines for crypto activities, including anti-money laundering (AML) and counter-terrorist financing (CTF) measures.
According to Bitcoinist, Coinbase has announced plans to launch a new global exchange to extend its reach beyond the US market. This development follows legal disputes with the SEC, which has been investigating Coinbase’s activities for potential securities law violations. The upcoming exchange will enable Coinbase to enter new markets and cater to customers around the world. While the exact locations are yet to be disclosed, a substantial expansion is anticipated.
Armstrong’s visit to the UAE underscores the growing interest in crypto from both investors and regulators in the Middle East. As more nations adopt a crypto-friendly posture, the industry is likely to experience significant growth, with companies keen to broaden their operations in emerging markets.
Despite ongoing struggles with the SEC, Armstrong has made it clear that Coinbase will not abandon the US market. He insists that the company remains devoted to serving customers both in the US and worldwide. However, Armstrong has also hinted at the possibility of relocating outside the US if regulatory challenges persist. He has lauded more “thoughtful approaches” to crypto regulation in regions like the European Union and the UK, which have already established comprehensive legislation and shown a positive attitude towards the industry.