The Dubai Department of Economic Development (“Dubai Economy”) and the Dubai International Financial Center are working to expand their Know Your Customer platform to include financial institutions in the United Arab Emirates.
The DIFC announced the planned expansion of the project through an announcement that was published on its website on April 6th.
According to the communique, both organizations have signed an agreement to create the necessary modalities for the expansion of the KYC platform in the United Arab Emirates.
The project was first announced in February 2020. According to a Cointelegraph report at the time, 120 companies were on board as of July 2020.
The DIFC said the blockchain-based KYC platform now holds almost half of all KYC electronic records in the UAE.
Commenting on the need to accelerate the roll-out of the blockchain KYC system, DIFC stated that the platform will enable more efficient exchange of verified KYC data between licensing authorities.
For Abdulla Hassan, CEO of the corporate sector of Dubai Economy, the UAE Dubai is an integral part of the government’s efforts to position the country as a viable global investment destination:
“When launched in 2020, the platform will be critical not only in simplifying bank account opening procedures for investors, but also in enabling banks to digitally receive verified KYC data. This initiative has a positive impact on business acquisition and the global simplification of business rankings in Dubai and the United Arab Emirates. “
The Blockchain-KYC consortium is one of many examples of the positive attitude of the Emirati government in dealing with crypto and blockchain technology.
In early April, the United Arab Emirates’ Minister of Economy, Abdulla Bin Touq Al Marri, identified crypto and asset tokenization as an integral part of the country’s plans to double the size of its economy within the next decade.
Meanwhile, Dubai’s financial regulators are already working on crypto rules. Recently, the public was given a 30-day window to comment on the proposed cryptocurrency laws.