Mubadala Investment Capital Backs Abu Dhabi’s New Crypto Exchange MidChains

Exciting Times for Cryptocurrency in Abu Dhabi

Abu Dhabi is rolling out the welcome mat for cryptocurrency with the recent backing of the thirteenth largest sovereign wealth fund, Mubadala Investment Capital, investing in the upcoming crypto exchange, MidChains. Set to kick off operations in late 2019, this digital currency trading platform will be based in one of the world’s most prestigious financial hubs: the Abu Dhabi Global Market (ADGM).

What MidChains Brings to the Table

MidChains, co-founded by Basil Al Askari, aims to redefine the trading atmosphere by functioning similarly to a traditional stock exchange—but with a twist: instead of stocks, it’ll be dealing in cryptocurrencies. As Al Askari clarifies, they are not just a trading platform; their services also include the custody of digital assets, ensuring that they store, settle, and clear crypto transactions efficiently and securely for their clients.

Global Interest in the Digital Playground

Even before its official launch, MidChains has already caught the attention of international stakeholders who are eager to dive into this burgeoning trading platform. Al Askari sees cryptocurrencies, particularly Bitcoin (BTC), not merely as a competition against traditional currencies, but as a new investment class that complements existing financial systems.

Regulatory Backing: A Game Changer

Having received the green light from the ADGM’s Financial Services Regulatory Authority, MidChains is more than just a theoretical venture; it’s a fully authorized entity ready to operate within a regulated framework. In the rapidly evolving world of digital currencies, this added level of credibility could be the difference between success and failure.

Other Players in the Crypto Game

But MidChains isn’t flying solo in this crypto revolution. The UAE has become a hotbed for various exchanges and digital asset custodians. For instance, back in June, Arabian Bourse (ABX) garnered initial regulatory approval from the ADGM. Established as a joint venture by GMEX Group and Arshad Khan, ABX aims to leverage Abu Dhabi’s proactive crypto asset regulations.

Staying Competitive with New Approvals

Additionally, BitOasis, another player in the local crypto exchange market, has also secured preliminary approval from financial regulators earlier this year. In a landscape that is becoming increasingly competitive, BitOasis is working its way towards meeting the required technical and operational standards for licensing. The second half of the year is set to be a pivotal period for these emerging exchanges.

Conclusion: A Bright Future Ahead

In conclusion, as Abu Dhabi establishes itself as a hub for cryptocurrency and blockchain innovations, investments like those from Mubadala Investment Capital signal a promising future for digital assets in the Middle East. The crypto community can expect to see exciting developments as exchanges like MidChains and ABX continue to pave the way for more regulated and secure trading environments.