Block By Block | Momentum In '23
BTC bursts through the $20k mark, Numi secures a $20 million investment, 8,300 blockchain employees flock to the MENA region; Learn all about it below.
In This Week’s Issue
⚡ Crypto Oasis, a leading blockchain ecosystem, identifies over 1,650 blockchain projects and 8,300 blockchain employees working in the MENA region, a double-digit growth over the prior year.
💰 Nümi, a UAE-based metaverse startup, secures a $20 million investment from Venom Ventures Fund, a newly launched $1 billion VC fund born out of Venom Foundation.
🙃 Crypto lender Genesis files for Chapter 11 bankruptcy, leaving closely-related crypto exchange Gemini open to the same fate.
💥 EXCLUSIVE: Crypto Regulation In The UAE: Which Free Zone Is Right For You? 🕸️
Local Developments
Blockchain Movements In The GCC 👇
Crypto Oasis, a leading blockchain ecosystem, identifies over 1,650 blockchain projects and 8,300 blockchain employees working in the MENA region, a double-digit growth over the prior year.
The UAE government signs a memorandum of understanding (MoU) with the World Economic Forum to support the UAE’s new blockchain and AI-enabled Trade Tech initiative.
Businesswire projects the NFT industry in the UAE to grow 32.1% on an annual basis between 2022 and 2028 and the NFT Spend Value to reach $4.7 billion by 2028.
“The rise of blockchain-based gaming is expected to drive NFT market growth in the UAE… This explains why the Abu Dhabi government-backed AD Gaming program has entered into a strategic collaboration with local crypto platforms such as Attarius Network, which attempts to increase the chances of blockchain-based gaming,” said a Businesswire correspondent.
Key Industry Development
Crypto Regulation In The UAE: Which Free Zone Is Right For You? 🕸️
As the UAE becomes one of the most important crypto regulatory bodies in the world, knowing the law becomes an absolute must for blockchain operators in the region.
There’s one hiccup to this: Crypto laws in the UAE are complicated. There are over 40 economic free zones in the UAE, each with their own subset of rules and procedures.
Drawing inspiration from this well-written piece by crypto lawyer Irina Heaver, we provide a quick summary of which location could be best for you depending on what you’re doing.
The Top Three Choices: DIFC, ADGM and Others
The Abu Dhabi Global Market (ADGM), a Financial Free Zone for Abu-Dhabi-based financial businesses.
The ADGM is one of the most developed regulatory regions in the UAE. The region hosts a number of companies providing crypto exchange and custodial services, including Binance and Kraken.
This is a great jurisdiction for Regulated Web3 VC funds, Crypto Custody Providers and holding companies investing in the equity of Web3 projects.
The Dubai International Financial Center (DIFC), a Financial Free Zone for Dubai-based financial businesses.
The DIFC is a freezone with unique crypto-related qualities. Its Crypto Token Regime, for example, gives operators the ability to provide a myriad of financial services, but these are limited to Bitcoin, Ethereum and Litecoin.
This is a great jurisdiction for regulated hedge funds investing in crypto, family offices and operators involved in traditional financial services activities, including advising on investments, dealing/arranging investments, trading and custody and some others.
Economic Free Zones: The DMCC, Dubai World Trade Center (DWTC) and IFTZ (Industrial FreeTrade Zone)
As economic free zones, all three of these areas provide unique business opportunities for businesses, including tax breaks, like-minded communities and existing infrastructure.
The DMCC perhaps has a unique use case for crypto projects amongst these three zones. It’s home to a thriving Crypto Center with over 500 companies already registered.
The DMCC is a great jurisdiction for launching a Web3, Metaverse or NFT Project, a personal Holding Company to manage own crypto holdings or investments for seasoned crypto entrepreneurs and HNWI and a Single Family Office.
The UAE aims to continue developing its free zones and its regulatory presence throughout 2023. A big thanks and huge credit goes out to Irina Heaver as the leading source for this news.
Startup Action
Updates From The Startup Ecosystem 💸
Nümi, a UAE-based metaverse startup, secures a $20 million investment from Venom Ventures Fund, a newly launched $1 billion VC fund born out of Venom Foundation.
Newiz Holdings, one of South Korea’s leading gaming giants, establishes a blockchain entity called Neofly in the UAE.
OneAgrix, Inexto, OriginTrail and ecosystem partners launch a halal digitalization solution, tracking food from DNA to QR Code.
Blockchain Trends
Global Trends 📉
Iran and Russia plan to release a new stablecoin to facilitate international trade while avoiding fiat currencies like the U.S. dollar.
Crypto lender Genesis files for Chapter 11 bankruptcy, leaving closely-related crypto exchange Gemini open to the same fate.
The Central African Republic eyes a legal framework for crypto adoption and participation.
BTC breaks out of a “high, tight flag” setup, a bullish technical signal, leading analysts to suspect a short-term bull run is on the way.
Local Trends 📈
HAYVN, a digital-asset-focused financial institution regulated by the Abu Dhabi Global Markets (ADGM) and others, launches the HAYVN 20 Index Fund, a high risk fund focused on crypto assets.
WEMIX, a South Korean blockchain gaming platform whose father company has more than 500 million users, establishes a presence in Abu Dhabi.
Upcoming Events
Events By AgoraGroup 🔴
AgoraGroup will host the Global Blockchain Congress (11th Edition) on March 6th and 7th in Dubai, the UAE.
Events Across The UAE 🔵
Crypto Expo Dubai will be hosted on March 8th and 9th in Dubai, the UAE.
The Future Blockchain Summit will be hosted between May 10th and May 12th in Dubai, the UAE.