More than 4,300 registered companies operating within the DIFC can now integrate XRP and TON tokens into their virtual asset services.
The Dubai Financial Services Authority (DFSA) has added XRP (XRP) and Toncoin (TON) to the list of tokens that can be legally used within the Dubai International Financial Center (DIFC). Now the total list of approved coins rises to five, with bitcoin (btc), ethereum (eth) and Litecoin (LTC) authorized in 2022.
The recognition by the Dubai International Financial Center is an important milestone for tokens that can expand their use. Notably, DIFC is the leading international financial center in the Middle East, Africa and South Asia, with more than 4,300 registered companies located in this special economic zone. All companies operating within the DIFC can now integrate XRP and TON tokens into their virtual asset services.
In 2020, Ripple chose the DIFC as the location for its MENA headquarters due to Dubai’s innovative regulations, expansive network, and reputation as a leading global financial center. The region has become one of the key markets for the company as around 20% of Ripple’s customers are located in the Middle East and North Africa (MENA) region. Amid strong growth in the Middle East, Ripple opened a new office located in the heart of the Dubai International Financial Center. Additionally, the company is bringing Swell Global 2023, the seventh edition of its annual customer conference, to Dubai on November 8-9.
Brad Garlinghouse, CEO of Ripple commented:
“It is reassuring to see the DFSA encouraging the adoption and use of digital assets such as XRP to position Dubai as a leading financial services center with the intention of attracting foreign investment and accelerating economic growth.”
For Toncoin, obtaining DFSA approval is a great achievement in its history and a great opportunity to expand its customer base.
DIFC leader in crypto regulation
With its comprehensive approach to cryptocurrency industry regulation, the DIFC zone is a pioneer in the digital assets space and offers a robust regulatory framework for cryptocurrencies and investment tokens.
In 2021, the Dubai Financial Services Authority (DFSA), an institution that regulates the DIFC zone, introduced the Investment Token Regime to regulate digital assets. That was the initial phase of all the legislation at that time. Highlights included the definition of tokens, their categorization, and the introduction of custody rules for digital wallets.
In November 2022, DFSA launched the second phase of the Investment Token Regime, providing further clarifications and removing potential ambiguities. First, the DFSA expanded its initial list of “recognized” crypto tokens for the DIFC. The list applies to all DIFC entities. Once a crypto token is “recognised” by the DFSA, there is no need for another entity to submit a recognition application. Now, XRP and TON are among the recognized tokens.
Secondly, while non-fungible tokens (NFTs) and utility tokens are not covered by DFSA regulation, they have fallen within the remit of the anti-money laundering and anti-terrorist financing regime. of the DFSA. Issuers of such tokens (unless their issuance does not exceed a minimum threshold of $15,000), as well as service providers (such as auction houses, issuance platforms and escrow services), must be registered with the DFSA as non-businesses. designated financiers. or profession and comply with associated AML requirements.
The next step will be the introduction of public consultations on other areas, including betting, DeFI and AML/CTF issues such as the travel rule.
next
Darya is a cryptocurrency enthusiast who strongly believes in the future of blockchain. As a hospitality professional, she is interested in finding ways blockchain can change different industries and take our lives to a different level.
!function(f,b,e,v,n,t,s)
{if(f.fbq)return;n=f.fbq=function(){n.callMethod?
n.callMethod.apply(n,arguments):n.queue.push(arguments)};
if(!f._fbq)f._fbq=n;n.push=n;n.loaded=!0;n.version=’2.0′;
n.queue=();t=b.createElement(e);t.async=!0;
t.src=v;s=b.getElementsByTagName(e)(0);
s.parentNode.insertBefore(t,s)}(window, document,’script’,
‘https://connect.facebook.net/en_US/fbevents.js’);
fbq(‘init’, ‘846189260537157’);
fbq(‘track’, ‘PageView’);
