Dubai’s strategy as a global pioneer provides a place for the metaverse community to thrive. The framework provides businesses with an environment that allows for growth and for talent in the city to flourish.
Dubai’s progressive regulatory environment and world-class technological infrastructure make it an attractive destination for Web3 platforms, including reputable cryptocurrency and blockchain firms.
Dubai is a place for innovation with 1,000 companies in the metaverse and blockchain sector. As the city attracts new players, the current contribution of $500 million to the UAE’s economy is estimated to increase significantly. Dubai has met its goal with The Dubai Metaverse Strategy.
Dubai is quickly establishing itself as a global digital economy hub after announcing the formation of a Higher Committee for Future Technology and Digital Economy. The objective is to combine Dubai’s status as digital innovation leader.
The Committee will research and supervise strategies for the future, including the metaverse, AI, blockchain, Web3 virtual reality AR IoT data centers cloud computing .
Gabriela and Dimitar are examples of companies in Dubai who have seen success by following the Test-Adapt-Scale model. The model has attracted technology-driven firms that are migrating to Dubai, promising to make it one of the world’s top economies.
In order to maintain its competitive advantage, the VARA is allowing licensees for a limited number of new markets. The most prominent organisations moving to Dubai is some of the world’s largest and most credible virtual exchanges, such as Binance, FTX and crypto.com in addition to traditional finance icons like Galaxy Digital and Komainu offering DeFi solutions and native service providers like BitOasis, CoinMENA and more.
Though not completely in place, many people envision a future with social media, search engines and marketplaces under decentralised control of individual users rather than a select few. This idea has been around for a while, but gained traction in 2021.
Dubai’s first metaverse leader
Dubai is the world’s first and only jurisdiction with the foresight to set up a dedicated regulator for virtual assets. In March 2017, Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, approved Dubai’s Virtual Assets Law (VAL) and established the VARA. The law ensures much-needed investor protection, economic security, and market transparency.
Al Marri also said that Dubai World Trade Center Authority is home to VARA and that virtual assets are set to be the primary drivers of the future global economy. The VARA will provide a progressive regulatory framework for virtual assets which will enable borderless economic opportunity across the glob
Dubai has lauched many new-aged businesses and has the 18th spot in the 2022 Global Digital Cities Index. The Middle East #1 ranking in digital finance and a top ten placing in blockchain.
In Dubai, policymakers have made a conscious effort to create an environment fit for new emerging technologies. Because of a lack of international guidelines on virtual assets, other countries are following Dubai in the regulatory landscape. The ecosystem is rapidly evolving and Dubai has become the hotbed for emerging enterprises.
VARA has been operating for a long time and manages the economy for Dubai through blockchain. They have partnerships with multiple industry experts that are designed to offer high quality services. VARA also is able to work with other companies in various industries, like finance, crypto trading, and digital brokerage.
There are various new companies such as OKX setting up operations in Dubai to take advantage of the fast growing digital asset ecosystem that has regulatory supervision. Others, such as Fintonia, will be expanding their staff and providing financial services tailored to institutes holding tokens.
Issuing VAL and VARA is part of Dubai’s strategy to become an international hub for the rapidly growing digital assets sector. The regulator VARA, which was established by Dubai, has convinced many cryptocurrency players to become active in their field by focusing on cryptocurrencies and virtual assets. With the help of these two systems, Dubai has started playing a key role in this growing industry.
With Dubai’s crypto strategy, it will be able to position itself as a global center for emerging technologies.
Cryptocurrency has been volatile this year because there is little transparency, but many jurisdictions have had a cautious attitude towards it. This year, many have begun to embrace the trends and recognize that it has potential as a hedge.
Dubai is establishing and enabling the safe adoption of sector best practices while also raising awareness to promote their economic freedom.
Digital assets are growing rapidly and the crypto market is expanding particularly quickly. In 2020, worldwide transaction volume for digital assets was $15.8 trillion, up 567% from the year before.
Dubai has become a think tank for Web 3.0 projects because it is easy to launch and has an infrastructure that will foster growth. It also attracts global talent who want to take advantage of the possibilities that are available in this environment.
Let’s explore Dubai’s Blockchain technology