Dubai and Hong Kong are stepping up their cryptocurrency game as both the countries are willing to explore crypto-based cross-border business opportunities for better interoperability.
Virtual Asset Regulatory Authority (VARA) Vice Chairman and Managing Director Deepa Raja Carbon said that Dubai maintains close contact with Hong Kong regulators, and sees Hong Kong’s regulatory approach. As a result, Dubai is willing to explore opportunities for interoperability in appropriate transactions and business areas.
According to local media, Carbon said that VARA plans to accelerate international connections with other governments to make sure that licensed institutions meet the requirements of multiple markets.
Dubai has been for long touted as a crypto hub and as a part of its crypto friendly strategies, VARA approved 22 virtual asset service providers (VASPs) including Binance, OKX, Bybit, and Cypto.com. Several exchanges have also applied for licenses in Hong Kong, but ultimately withdrew their applications; Hong Kong has so far approved three virtual asset trading platform (VATP) licenses. But Hong Kong is constantly looking to review more crypto platforms, by the end of 2024.
Carbon highlighted that VARA‘s approach to regulation is twofold: guiding companies on what is permissible and informing the market on areas requiring caution, with strict oversight of market promotion. Dubai’s regulatory authority is also prioritizing educating citizens on virtual assets through partnerships with universities, informed Carbon.
As for the crypto trends in the eastern part of the world, Hong Kong has introduced its Chief Executive’s 2024 Policy Address which not only mentioned a number of virtual assets but also measures towards strengthening its virtual asset models.
