Regulated trading of cryptocurrency assets to begin in Dubai airport freezone

The Dubai Airport Free Zone Authority (DAFZA) signed an agreement with the Securities and Commodities Authority (SCA) on Wednesday to support the regulation, offering, issuance, listing and trading of crypto assets within the freezone.

The agreement allows companies trading with crypto assets to be licensed within DAFZA, with SCA issuing the relevant approvals and licenses.

SCA will oversee the offering, issuance, listing and trading of crypto assets and licensing related financial activities within the jurisdiction of DAFZA.

The agreement also stipulates that the authority shall supervise, control, inspect and investigate entities operating in DAFZA and that have obtained a licence or approval from the authority under this agreement.

Both DAFZA and SCA will also share best practices and offer technical support to each other to better understand current financial systems.

“DAFZA is continuously working to attract foreign investors through expanding the scope of its licences and services. The free zone has more than 25 years of high confidence and trust within the international business community, which is looking to establish or expand its business and commercial activities in DAFZA,” said Amna Lootah, assistant director-general of DAFZA.

Earlier this year, another freezone in Dubai, the Dubai Multi Commodities Centre (DMCC), opened a new crypto centre. Businesses dealing with crypto assets can now obtain bespoke licences at the DMCC Crypto Centre. The DMCC too signed an MoU with the SCA to develop a regulatory framework for businesses offering, issuing, listing, and trading crypto assets in DMCC. The SCA will issue approvals for crypto-related businesses seeking to establish themselves in DMCC.

Read: Cryptocurrency businesses can now open offices within DMCC freezone in Dubai