Abu Dhabi regulator lays out 'guiding principles' for crypto
FSRA takes a pro-market stance but is committed to international security standards.
New
The Financial Services Regulatory Authority (FSRA), the financial regulator of the Abu Dhabi Global Market Free Economic Zone (ADGM), has released its "Guiding Principles" on its approach to regulation and supervision of digital assets.
In agreement with the crypto industry, the principles commit to international standards for anti-money laundering (AML), counter-terrorist financing (CFT) and support financial penalties.
Five principles have been published undated on the official ADGM webpage. They carry the titles of Internationally recognized regulatory framework, Dynamic and market-oriented regulations, Risk-based and proportionate approach, Cooperation and shared responsibility, Providing high standards of quality and service.
While in general the tone and content of the principles correspond to standard statements aimed at making the market more dynamic, innovative and safe, at the same time there are some specific points that would define the regulatory landscape of the ADGM.
In accordance with the principles, the legislative framework of the ADGM will be based on English common law. Within the economic zone, the functions of regulator, registry and tribunal will operate independently, with a regulatory committee appointed by the board to ensure independent oversight.
Liberal as they sound, these principles will be complemented by adherence to international AML/CFT standards, close cooperation with other jurisdictions, and “financial sector oversight” as part of the FSRA function.< /p>
Related: Swiss and Dubai Crypto Associations Partner
The regulator also intends to work closely with market participants on a "regular but informal" basis. This will include one-on-one sessions between the regulatory and commercial teams, as well as working groups of market participants and professionals.
In March 2022, ADGM
FSRA takes a pro-market stance but is committed to international security standards.
New
The Financial Services Regulatory Authority (FSRA), the financial regulator of the Abu Dhabi Global Market Free Economic Zone (ADGM), has released its "Guiding Principles" on its approach to regulation and supervision of digital assets.
In agreement with the crypto industry, the principles commit to international standards for anti-money laundering (AML), counter-terrorist financing (CFT) and support financial penalties.
Five principles have been published undated on the official ADGM webpage. They carry the titles of Internationally recognized regulatory framework, Dynamic and market-oriented regulations, Risk-based and proportionate approach, Cooperation and shared responsibility, Providing high standards of quality and service.
While in general the tone and content of the principles correspond to standard statements aimed at making the market more dynamic, innovative and safe, at the same time there are some specific points that would define the regulatory landscape of the ADGM.
In accordance with the principles, the legislative framework of the ADGM will be based on English common law. Within the economic zone, the functions of regulator, registry and tribunal will operate independently, with a regulatory committee appointed by the board to ensure independent oversight.
Liberal as they sound, these principles will be complemented by adherence to international AML/CFT standards, close cooperation with other jurisdictions, and “financial sector oversight” as part of the FSRA function.< /p>
Related: Swiss and Dubai Crypto Associations Partner
The regulator also intends to work closely with market participants on a "regular but informal" basis. This will include one-on-one sessions between the regulatory and commercial teams, as well as working groups of market participants and professionals.
In March 2022, ADGM
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