VOT Research Desk
Industry professionals in Dubai reacted on how the fiasco may affect the United Arab Emirates’ emerging crypto hub as the FTX epidemic spreads to many areas of the global crypto ecosystem (UAE).
Different specialists shared their opinions on how the collapse of the FTX exchange will impact Dubai and the UAE’s crypto scene, ranging from harsher laws to better initiatives leading the way.
The founder and CEO of KARM Legal Consultants, Kokila Alagh, predicts that greater due diligence and examination would be applied before projects are accepted in Dubai’s licencing procedure as a result of the FTX collapse.
Alagh also told Cointelegraph that better ventures might take the lead in the sector as a result of the FTX collapse. Any significant setback in a developing industry paves the opportunity for stronger projects to take the lead.
Dubai-based industry professionals discussed how the fiasco may impact various segments of the global crypto ecosystem as the FTX virus spread. One of the first exchanges to receive approval from the Dubai Virtual Asset Regulatory Authority (VARA), a body in charge of monitoring virtual asset service providers looking to operate locally, was the FTX exchange.
The FTX exchange received approval in July to move forward with testing and operations under the Minimum Viable Product (MVP) programmed. The approvals for FTX MENA, the local counterpart to the FTX exchange, have just been cancelled by VARA due to the events surrounding the FTX exchange.
The regulator further stated that no clients have yet been exposed and that the organization has not yet received clearance to onboard clients. emerging cryptocurrency hub in the United Arab.
