Ripple’s XRP gains DFSA approval for Dubai Financial Centre use
Ripple’s XRP has been sanctioned by the Dubai Financial Services Authority for use within the prestigious Dubai International Financial Centre.
Ripple has announced a notable advancement in the enterprise blockchain and cryptocurrency sector as the Dubai Financial Services Authority (DFSA) has sanctioned the use of XRP within the Dubai International Financial Centre (DIFC).
This approval positions XRP alongside other previously approved digital assets like BTC, ETH, and LTC under the DFSA’s virtual assets regime.
XRP is the first virtual asset to gain such approval
The endorsement of XRP marks it as the first virtual asset to gain such approval since the DFSA began accepting external applications. This move by the DFSA is set to enhance the legal and regulatory framework for XRP within the DIFC, allowing institutions to utilize XRP for more efficient global value exchanges.
The United Arab Emirates (UAE) has rapidly established itself as a jurisdiction focused on providing regulatory clarity for the burgeoning virtual asset services sector. The DFSA’s regime demonstrates a commitment to fostering a crypto, payments, and fintech ecosystem that is conducive to long-term development and innovation. This is further supported by Dubai’s Virtual Assets Regulatory Authority (VARA), which was established to ensure investor protection and promote high standards of risk assurance while facilitating technological advancement.
Brad Garlinghouse, CEO of Ripple, lauded Dubai for its forward-thinking approach to virtual asset regulation and its support for digital asset adoption, like XRP, to reinforce its position as a global financial hub. Ripple is poised to strengthen its operations in Dubai, working in tandem with regulators to maximize the potential of cryptocurrencies.
“Dubai continues to demonstrate global leadership when it comes to the regulation of virtual assets and nurturing innovation. It’s refreshing to see the DFSA encourage the adoption and use of digital assets such as XRP to position Dubai as a leading financial services hub intent on attracting foreign investment and accelerating economic growth. Ripple will continue to double down on its presence in Dubai and we look forward to continuing to work closely with regulators to realize crypto’s full potential”, said Garlinghouse.
Ripple’s expanding influence in MENA
Dubai’s embrace of XRP is expected to unlock novel regional payment avenues and virtual asset applications utilizing the XRP Ledger. Ripple’s choice of the DIFC for its MENA headquarters in 2020 was influenced by Dubai’s innovative regulatory environment, strategic network, and status as a premier global financial center. Notably, around 20% of Ripple’s clientele is rooted in the MENA region.
The upcoming Ripple Swell event in Dubai, Ripple’s flagship conference, will convene leading voices from the financial industry and regulatory bodies. The event promises to be a significant gathering of Ripple’s network, showcasing influential decision-makers and thought leaders from the fintech, finance, and cryptocurrency domains.
With the participation of the DIFC’s Chief Operating Officer, Alya Al Zarouni, and VARA’s CEO, Hensen Orser, the event sets the stage for future discourse on the intersection of finance and technology.