Coinbase Targets UAE as Strategic Hub for Cryptoeconomy Expansion; Executives Attend Dubai Fintech Summit
Major US-based crypto exchange Coinbase has praised the United Arab Emirates (UAE), saying the region has the potential to become a “strategic hub” for the company.
Writing in a blog post over the weekend, Coinbase called the UAE “a centre of web3 innovation,” with the emirate of Dubai alone home to some 500 startups and the incubator known as Hub71 in Abu Dhabi providing funding for critical blockchain infrastructure projects.
Coinbase also revealed in the blog post that it is already in discussions with Abu Dhabi Global Market (ADGM) regulators and Dubai’s Virtual Assets Regulatory Authority (VARA) about its activities in the region, and the regulatory framework for crypto.
It added that it believes the UAE with its pro-crypto and pro-business regulations will help reach Coinbase’s objective of bringing crypto to 1 billion people worldwide.
CEO set to visit Dubai
The blog post from Coinbase also came as the company’s CEO Brian Armstrong and other senior executives are set to visit the UAE and meet with policymakers and regulators.
Among other things, Brian Armstrong is expected to deliver a keynote address at the inaugural Dubai Fintech Summit
Coinbase took its first step towards global expansion as recently as last week, when it opened a crypto derivatives exchange in Bermuda for non-US traders.
The launch of the new derivatives exchange came after Coinbase CEO Brian Armstrong in April revealed that relocated out of the US is an option for the exchange, saying “anything is on the table, including relocating or whatever is necessary.”
US regulators, including the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), have stepped up their scrutiny of the crypto industry this year, threatening a number of companies in the sector with enforcement action.
In March this year, Coinbase was served a so-called Wells notice by the SEC, a warning that typically proceeds legal action.