Abu Dhabi Global Markets has granted a Financial Services Permit (FSP) to cryptocurrency exchange platform Rain, allowing it to expand its service offerings to customers in the United Arab Emirates (UAE) and the region.
What does this mean for rain and cryptocurrencies?
The Financial Services Permit (FSP) allows Rain to buy, sell and store digital assets across the UAE. The company can also offer on-ramp services into the cryptocurrency world, offering clients seamless transactions along the way.
One of the problems that retail and institutional investors typically face in this region is being able to exchange fiat currency for cryptocurrency. As such, Rain serves as a conduit for those wishing to convert their fiat currency into crypto assets.
In a statement obtained by The NationalRain CEO Joseph Darago said the development will provide customers with “an even higher level of security and trust.”
Darago also believes that “this achievement marks an important milestone not only for Rain, but for the crypto industry as a whole.”
He further added, “This license allows us to offer an even greater level of security and trust to our customers as we continue to drive innovation and growth in the crypto-asset space. Additionally, Rain now offers the only regulated on-ramp and off-ramp of UAE dirhams to UAE’s virtual assets.”
Total market cap surges to $1.139 | Source: Crypto Total Market Cap on Tradingview.com
Industry Continues to Grow Despite Struggle with Regulation
While the cryptocurrency market is still stuck in this bear market, the industry is arguably continuing to grow as stakeholders build and drive mainstream adoption.
Many countries and individuals are also beginning to realize that digital assets are the future of money, offering a safer and more secure way to conduct transactions with the help of blockchain technology.
It is therefore not surprising that Abu Dhabi joins a long list of regions seeking to integrate the use of blockchain technology into their governments and economic operations as part of efforts to create a more transparent and effective framework.
As part of its efforts to further adopt blockchain technology and digital currencies in the region, Abu Dhabi last year launched the Middle East, Africa and Asia Cryptographic and Blockchain Association (MEAACBA), a non-profit organization aimed at promoting the development of blockchain and cryptocurrency ecosystems in the EMEA region.
Rain Financial is part of the organization that happens to support MEAACBA alongside other crypto platforms such as Binance, MidChains, BitOasis and Crypto.com.
Featured image from Cryptoknowmics, chart from Tradingview.com