Abu Dhabi Regulator Calls for International Cryptocurrency Regulation Effort

The head of the financial regulator of the United Arab Emirates (UAE) capital Abu Dhabi wants “proper” international regulation of cryptocurrency, local news outlet The National reports Wednesday, September 19.

Speaking during an interview at this week’s Fintech Abu Dhabi event, Richard Teng, head of the Financial Services Regulatory Authority of the Abu Dhabi Global Market (ADGM), claimed that loss and theft of cryptocurrency negatively impacts its image as an asset.

“This space needs to be properly regulated, otherwise there is the risk of financial crime,” he said, noting:

“Every time a coin gets stolen or lost, it affects the confidence in this asset class.”

The comments mark the latest in a series of official opinions on cryptocurrencies to have emerged from the UAE in recent weeks.

As Cointelegraph reported, this month should see formal regulations emerge at a nationwide level in the UAE regarding both fintech and Initial Coin Offerings (ICO).

This week, a Dubai police chief went on record to say digital currency would “soon replace” traditional cash, while other senior law enforcement officials called for the central bank to issue a national cryptocurrency.

ADGM, meanwhile, has long engaged with the crypto market, publishing guidelines last year, with Teng noting the organization had since shared its expertise with a number of international governments. Teng added:

“We are confident that our comprehensive regime — which we have shared with global regulators […] can address these risks and bring greater confidence into this asset class.”

Recipients included the U.S. Securities and Exchange Commission (SEC), the UK’s Financial Conduct Authority, and the Monetary Authority of Singapore.