Kraken-the first global crypto currency exchange on ADGM

Kraken became the first global cryptocurrency exchange to be fully licensed to operate a regulated virtual asset exchange platform on the Abu Dhabi Global Market (ADGM) in April this year.

Earlier this week, Kraken announced that UAE residents will soon be able to trade virtual assets in Dirhams using their local bank accounts, and according to a survey, the UAE is the third largest country in the world in terms of crypto adoption, with 35 percent of people already owning some form of cryptocurrency.

The Middle East is one of the fastest-growing cryptocurrency markets in the world. UAE clients are already using Kraken to transact more than a billion dollars in trading volume, creating a strong potential for the UAE's liquid capital markets to see a significant increase in trading volume.

Benjamin Amban, managing director of Kraken Mena, said that cryptocurrency adoption is growing rapidly in the UAE. The UAE is emerging as a global hub for cryptocurrency, he said.

By being able to invest directly in crypto and deposit and withdraw money in Dirhams directly from their Kraken account, local investors and institutions will benefit from a frictionless trading experience and greater access to the crypto market.”

According to Chinalysis' 'The 2021 Geography of Cryptocurrency Report', the Middle East received $271.7 billion worth of cryptocurrency from July 2020 to June 2021, representing 6.6 percent of global activity. The UAE is third behind Turkey and Lebanon with transactions worth $25.5 billion.

Benjamin Amben noted that trading in Dirhams will increase trade volumes in the UAE. A strong financial services hub, ADGM is an ideal and indispensable partner, Amben said.

Kraken is excited to partner with ADGM, who have been instrumental in realizing our vision of making Dirham crypto trading a reality in the UAE. The regulatory drive in this area, as indicated by ADGM's Virtual Assets, is very progressive, visionary, and forward-looking. A framework that promotes adoption and innovation in emerging, technology-enabled investment strategies. We continue to be privileged to receive such great support and recognition from them received.

Amban pointed out that progressive regulatory reform, legislative activities, and technological innovation put the UAE in a strong position to advance in the crypto market.

"The UAE's crypto strategy is ambitious and attractive, yet one that is evolving very quickly. By bringing a first to the region in allowing investors to access crypto trading directly in Dirhams, we want to help increase activity and adoption, investment flows, and awareness of the UAE's status as a rapidly growing global crypto marketplace."

This is an exciting opportunity to accelerate the adoption of cryptocurrencies in a sector with such high potential.  We strongly believe that our proposal aligns with national interests and helps support the region's vision.

Benjamin Amban stated that Kraken wants to be a reliable partner of the UAE.